Brian and Sandy Are Forming a Partnership

question 137

Multiple Choice

Brian and Sandy are forming a partnership. Brian will invest a truck with a book value of $10000 and a fair value of $14000. Sandy will invest a building with a book value of $30000 and a fair value of $42000 with a mortgage of $15000. What amount should be recorded in Brian's capital account?

• A) $30000
• B) $27000
• C) $42000
• D) $14000

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Definitions:

Nonjudgmental

An approach that involves accepting and respecting others' choices and behaviors without moral judgment.

Aftereffects

Consequences or outcomes that follow an event, often referring to the residual or lingering effects.

Hopelessness

A feeling or state of despair, often resulting from prolonged suffering or when facing seemingly insurmountable challenges.

Higher Power

A spiritual presence or entity believed to have greater power and influence over human affairs.