A 60:40 Joint Operation Was Commenced Between Two Participants $\begin{array} { l l l } \text { DR } & \text { Cash in JO } & \$ 30,000 \\\text { CR } & \text { Obligation to JO } & \$ 30,000 ;\end{array}$

question 4

Multiple Choice

A 60:40 joint operation was commenced between two participants. Participant One contributed cash of $60 000, and Participant Two agreed to provide technical services to the joint operation over a period of two years. The fair value of the services was determined to be $40 000 and the cost to provide the services was estimated to be $35 000 Using the line-by-line method of accounting, participant Two would record:

• A) \(\begin{array} { l l l }
• \text { DR } & \text { Cash in JO } & \$ 30,000 \\
• \text { CR } & \text { Obligation to JO } & \$ 30,000 ;
• \end{array}\)
• B) \(\begin{array}{lll}\text { DR }&\text { Cash in JO }&\$24,000\\
• \text { CR } & \text { Obligation to JO } & \$ 21,000 \\
• \text { CR } & \text { Profit on provisions of services } & \$ 3,000:
• \end{array}\)
• C) \(\text { DR\quad Cash in JO } \quad \$ 24,000\)
• \(\text { CR } \quad \text { Obligation to JO } \quad \$ 24,000 \text {; }\)
• D) \(\begin{array}{lll}
• \text { DR } & \text { Cash in JO } & \$ 24,000 \\
• \text { DR } & \text { Receivable in JO } & \$ 16,000\\
• \text { CR }&\text { Obligation to } \mathrm{JO}&\$40,000
• \end{array}\)

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Definitions:

Sex Hormones

Chemical substances produced by the body that regulate sexual functions and characteristics, including estrogen, testosterone, and progesterone.

Genetic Linkage Studies

Studies in which researchers examine families that have a high incidence of a particular psychiatric disorder. Within these extended families the researchers look for the presence of particular traits (called genetic markers) that can be linked to the occurrence of the disorder.

Psychiatric Disorder

A mental disorder or illness that significantly interferes with an individual’s cognitive, emotional, or social abilities, often diagnosed and treated within the field of psychiatry.

Genetic Markers

Specific sequences of DNA or RNA that can be used to identify individuals or species and are often used to study the relationship between an inherited disease and its genetic cause.