On June 30, 2008, Cey, Inc. exchanged 2,000 shares of Seely Corp. $30 par value common stock for a patent owned by Gore Co. The Seely stock was acquired in 2008 at a cost of $55,000. At the exchange date, Seely common stock had a fair value of $45 per share, and the patent had a net carrying value of $110,000 on Gore's books. Cey should record the patent at
A) $55,000.
B) $60,000.
C) $90,000.
D) $110,000.

Question

Quizplus · Accepted Answer

$2,000 × $45 = $90,000.