Mitt Romney contributed land, equipment, and $60,000 in cash to form a partnership with his buddy Barack Obama. The land had a book value of $40,000 and a market value of $68,000. The equipment had a book value of $30,000 and a market value of $35,000. The partnership also assumed a $10,000 note payable owed by Mitt that was associated with Mitt's business. Show the journal entry that thepartnership would make for Mitt's contribution to the partnership.

Mitt Romney contributed land, equipment, and $60,000 in cash to form a partnership with his buddy Barack Obama. The land had a book value of $40,000 and a market value of $68,000. The equipment had a book value of $30,000 and a market value of $35,000. The partnership also assumed a $10,000 note payable owed by Mitt that was associated with Mitt's business. Show the journal entry that thepartnership would make for Mitt's contribution to the partnership.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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