Forman and Berry Are Forming a Partnership

question 124

Multiple Choice

Forman and Berry are forming a partnership.Forman will invest a building that currently is being used by another business owned by Forman.The building has a market value of $80,000.Also,the partnership will assume responsibility for a $20,000 note secured by a mortgage on that building.Berry will invest $50,000 cash.For the partnership,the amounts to be recorded for the building and for Forman's Capital account are:

• A)Building,$80,000 and Forman,Capital,$80,000.
• B)Building,$60,000 and Forman,Capital,$60,000.
• C)Building,$60,000 and Forman,Capital,$50,000.
• D)Building,$80,000 and Forman,Capital,$60,000.
• E)Building,$60,000 and Forman,Capital,$80,000.

---

Definitions:

Problem Solving

The process of identifying a problem, developing possible solution paths, and choosing and implementing the solution that best resolves the problem.

Collaboration Platforms

Digital tools or spaces designed to facilitate cooperative work or projects among various users or teams.

Cloud Computing

The delivery of various services, such as storage, servers, databases, networking, software, over the Internet (“the cloud”), offering faster innovation, flexible resources, and economies of scale.

Shared Workspace

A physical or virtual environment where multiple individuals can work collaboratively on tasks or projects.