Sally Smythe Enters into a Partnership by Contributing the Following

question 8

Multiple Choice

Sally Smythe enters into a partnership by contributing the following: Cash $15,000;Accounts Receivable $4,500;Machinery which cost $3,000 and has a fair market value of $2,125;and accounts payable of $1,200.What amount will be recorded in her capital account?

• A)$21,625
• B)$20,425
• C)$22,500
• D)$21,300

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Definitions:

Schwann Cell

A type of glial cell located in the peripheral nervous system that wraps around axons, providing them with insulation and speeding up the transmission of nerve impulses.

Neuronal Processes

Neuronal processes refer to the various protrusions from a neuron's cell body, including axons and dendrites, which are essential for neural communication and signal transmission.

Mathematical Equations

Formulas that represent relationships between variables or express mathematical principles.

Circuit

A closed path through which an electrical current travels or a system of interconnected electronic components.