SReising Contributed $48,000 in Cash Plus Equipment Valued at $73,000

question 107

Multiple Choice

S.Reising contributed $48,000 in cash plus equipment valued at $73,000 to the Reising Construction Partnership.The equipment had a book value of $65,000.The journal entry to record the transaction for the partnership would include a:

• A)Debit to Equipment for $73,000.
• B)Debit to Equipment for $65,000.
• C)Credit to S.Reising,Capital for $113,000.
• D)Credit to Common Stock for $121,000
• E)Credit to the Gain on Asset for $8,000.

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Definitions:

Breach of Duty

A failure to fulfill a legal or ethical obligation, often leading to legal liability for any resulting damages.

BigBox

Large retail stores typically part of a chain of stores, known for selling a variety of goods at lower prices.

Partnership Agreement

A legal document that outlines the rights and responsibilities of each partner participating in a business venture.

Mandatory Retirement

A policy that requires employees to retire once they reach a specific age, regardless of their willingness or ability to continue working.