Fontaine and Monroe are forming a partnership Fontaine inves

Fontaine and Monroe are forming a partnership. Fontaine invests a building thet has a market value of $360,000; the partnership assumes responsibility for o $130,000 note secured by a mortgage on the property. Monroe invests $105,000 in cash and equipment that has a market value of $80.000. For the partnership, the amounts recorded for the building and for Fontaine\'s Copital account are: O Building $360,000: Fontalne, Capital $230.000. O Bulding $360,000: Fontaine, Capital $315.000 O Building $230.000: Fontaine. Captai $130.000 O Building $230000: Fontaine. Capitai $230.000 O Building $360,000: Fontaine. Capital $360:000 References Multiple Choice Type here to search

Solution

Building is recorded at 360000

Fontane capital is recorded net of liability assumed by partnership = 360000-130000= 230000