1- Savings Mart is a national retail chain. To entice the company to open a mega store in its jurisdiction, the city of Populationville donated a 20-acre tract of land to be used for construction. The land was originally purchased by the city for $264,000 three years ago. The appraisal value at the time of the donation was $314,000. For what amount should Savings Mart record the donated land?

• $264,000.

• $289,000.

• $314,000.

• $0; Donated assets are not recorded.

2- If the fair values of the assets in a nonmonetary exchange cannot be determined, the asset received is valued at the book value of the asset given?

True

False