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Journalize partner's original investment
Brittany Adams contributed a patent, accounts receivable, and $61,000 cash to a partnership. The patent had a book value of $56,000. However, the technology covered by the patent appeared to have significant market potential. Thus, the patent was appraised at $240,000. The accounts receivable control account was $78,000, with an allowance for doubtful accounts of $4,000. The partnership also assumed a $15,000 account payable from Adams.
Provide the journal entry for Adams' contribution to the partnership.
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