Please solve it AssetsCash$100,000Marketable Securities240,000Inventory150,000Land160,000Building - Net800,000Total Assets1,450,000Equities$850,000Sam,, CapitalNorm, Capital450,000Woody, Capital150,000Total Equities1,450,000The partners agree to admit Dianne for a one-tenth interest. The Fair Market Value for the partnership landis $360,000 and the Fair Market Value of the inventory is $300,000Required:1) Record the entry to revalue the partnership assets prior to the admission of Dianne2) Calculate how much Dianne will have to invest to acquire a 10% interest3) Assume the partnership assets are not revalued. If Dianne paid $400,000 in exchange for a 10%interest in the partnership, what is the bonus that is allocated to each partner's capital account?

The question is based on the concept of Financial Accounting.

Answered: Assets $100,000 240,000 Cash Marketable…

Assets $100,000 240,000 Cash Marketable Securities Inventory 150,000 Land 160,000 Building - Net 800,000 Total Assets 1,450,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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