John's uncle donated a truck to his company, John's Corporation. The truck had an original cost of $95,000, a book value of $40,000, and a fair value of $60,000. The journal entry by John's Corporation to record this donated asset will include a:

a. debit Truck for $95,000 and credit Gain for $35,000.
b. debit Truck for $60,000 and credit Gain for $20,000.
c. debit Truck for $60,000 and credit Gain for $60,000.
d. debit Truck for $95,000 and credit Gain for $95,000.

Question

06-12-2021
Business

Answered

Welcome to Westonci.ca, where your questions are met with accurate answers from a community of experts and enthusiasts. Our platform connects you with professionals ready to provide precise answers to all your questions in various areas of expertise. Explore comprehensive solutions to your questions from a wide range of professionals on our user-friendly platform.

John's uncle donated a truck to his company, John's Corporation. The truck had an original cost of $95,000, a book value of $40,000, and a fair value of $60,000. The journal entry by John's Corporation to record this donated asset will include a:

a. debit Truck for $95,000 and credit Gain for $35,000.
b. debit Truck for $60,000 and credit Gain for $20,000.
c. debit Truck for $60,000 and credit Gain for $60,000.
d. debit Truck for $95,000 and credit Gain for $95,000.

Sagot :

We hope this information was helpful. Feel free to return anytime for more answers to your questions and concerns. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.

sand dunes that form scalloped rows of sand at right angles to the wind are called?

autobiography of a calendar

Consider this scenario: A major manufacturing firm wants to open in your rural town. Your town currently has a population of fewer than five thousand people. Mu

A state's representation in the U.S. House of Representatives is based MOST specifically on A) equal representation. B) the state's population. C) the state's e

Who was first able to monopolize the spice trade and open trade with China? a. The Dutch c. The Portuguese b. The French d. The Spanish

What did factory owners do to prevent unions from forming? They paid off union leaders so they would stay away. They had union leaders arrested for no cause. Th

Which technological development led to an increased demand for slaves in the United States during the early- to mid-1800s? A) the steel plow B) the cotton gin C

uropean countries reacted to the Hawley-Smoot Tariff by A. lowering prices on European goods. B. importing more American goods. C. increasing global trade. D. p

How are the types of energy in the electromagnetic spectrum defined? (Points : 3) by their atomic structure by their color by their amplitude by their wavelengt

Which organization negotiates trade agreements, settles disputes, and enforces compliance among member nations? A. European Union B. NAFTA C. World Trade Organi

abiolataiwo2015 abiolataiwo2015 · Answer 1 · 2021-12-20T02:32:23-05:00

Based on the information given the appropriate journal entry by John's Corporation to record this donated asset will include a: c. debit Truck for $60,000 and credit Gain for $60,000.

Since the truck donated to his corporation has a fair value of the amount of $60,000 which is the worth of the truck (assets) which means that the appropriate journal entry to record the transaction will be:

Debit Truck $60,000

Credit Gain $60,000

(To record asset donated)

Inconclusion the journal entry by John's Corporation to record this donated asset will include a: c. debit Truck for $60,000 and credit Gain for $60,000.

Learn more about journal entry here:https://brainly.com/question/14694738

Sagot :

Other Questions