Fairchild Company Acquired a Building Valued at $210,000 for Property

question 53

Multiple Choice

Fairchild Company acquired a building valued at $210,000 for property tax purposes in exchange for 6,000 shares of its $10 par common stock.The stock is widely traded and selling for $31 per share.At what amount should the building be recorded by Fairchild Company?

• A)$210,000
• B)$60,000
• C)$186,000
• D)$150,000

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Definitions:

Reciprocity

A social interaction principle where actions benefitting others are returned, promoting cooperation and trust.

Cheating

In biology, this refers to behaviors where individuals gain a reproductive or survival advantage at the expense of others, often violating social or mating norms.

Selfless Act

An action taken by an individual that benefits others at a cost to themselves, often discussed in the context of altruism in sociobiology.

Primary Helpers

Individuals, often offspring, who assist in the nurturing and defense of the next generation’s offspring in cooperative breeding species.