Rodriguez and Ying start a partnership on July 1,2017.Rodriguez contributes $4,100 cash,furniture with a current market value of $55,000,and computer equipment.The computer equipment originally cost $48,000 in 2015,with recorded accumulated depreciation of $28,000.The current market value of the computer equipment is $17,000.At what value should the computer equipment be recorded in the accounting records of the partnership?

Question

Quizplus · Accepted Answer

B)The partnership records the partners' contributions at current market value because the partnership is receiving the assets and assuming the liabilities at their current market values.

Rodriguez and Ying Start a Partnership on July 1,2017