Question
Take Test: Week 2 Midterm ACG2011G4-211212016 Sue Thompson and Aaron Longdecide to form a partnership on August 1. Thompson invests the following assets and liabilities
Take Test: Week 2 Midterm ACG2011G4-211212016 -
Sue Thompson and Aaron Longdecide to form a partnership on August 1. Thompson invests the following assets and liabilities in the new partnership:
Market Value Land $100,000 Building $350,000 Note payable $155,000
The note payable is associated with the building and the partnership will assume responsibility for the loan. Longinvested $100,000 in cash and $95,000 in equipment in the new partnership. Prepare the journal entries to record the two partners' original investments in the new partnership.
Sue Thompson and Aaron Longdecide to form a partnership on August 1. Thompson invests the following assets and liabilities in the new partnership:
| Market Value | |
| Land | $100,000 |
| Building | $350,000 |
| Note payable | $155,000 |
The note payable is associated with the building and the partnership will assume responsibility for the loan. Longinvested $100,000 in cash and $95,000 in equipment in the new partnership. Prepare the journal entries to record the two partners' original investments in the new partnership.
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Cost Accounting
Authors: William K. Carter
14th edition
759338094, 978-0759338098
