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Three friends started a new company. The three friends will own all of the shares of stock. One of the friends did not have cash
Three friends started a new company. The three friends will own all of the shares of stock. One of the friends did not have cash to put into the company, but he contributed a truck the company needed in its operations. The truck had a fair value of $25,000. He received 100 shares of the companys $5 par value common stock in exchange for the truck. Prepare the journal entry the company should make for this capital contribution.
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