Dave Krug contributed $1,000 cash along with inventory and land to a new partnership. The inventory had

Question:

Dave Krug contributed $1,000 cash along with inventory and land to a new The inventory had a book value of $800 and a market value of $2,000. The land had a book value of $1,400 and a market value of $5,000. The also accepted a $3,000 note payable owed by Krug to a creditor. Prepare the partnership's journal entry to record Krug's investment.
Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...