On June 30, 2020, Blue Ltd

question 49

Multiple Choice

On June 30, 2020, Blue Ltd. exchanged 2,000 Ivy Corp. common shares for a patent owned by Jazz Corp. The Ivy shares were acquired in 2018 for $ 125,000. At the exchange date, Ivy common shares have a fair value of $ 80 per share, and the patent had a carrying value of $ 280,000 on Jazz's books. Blue should record the patent at

• A) $ 280,000.
• B) $ 160,000.
• C) $ 155,000.
• D) $ 125,000.