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1.As part of the initial investment a partner contributes equipment that had a cost of $50,000 and accumulated depreciation of $35,000. If the partners agree on a valuation of $30,000 for the equipment, what amount should be debited to the office equipment account?
A) 15,000
B) 20,000
C) 30,000
D) 50,000
2.May 1 2010 a firm purchased a 1 year insurance policy for $1800 and paid the full premium in advance. The insurance expense associated with this policy for 2010 is
A) 600
B) 1200
C) 1800
D) 1050
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Determine the amount to be added to Allowance for Doubtful Accounts in each of following cases.
Admission/Withdrawal of Partners
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