What amount will be recorded to Kelsey's capital account?

A) $14,000
B) $24,000
C) $40,000
D) $44,000

Question

What amount will be recorded to Kelsey's capital account?A)  $14,000B)  $24,000C)  $40,000D)  $44,000

Regina Givens · Accepted Answer

Final Answer : D, Explanation :  The total amount of the assets being brought in is $60,000. Out of this, $4,000 is being used to pay off liabilities, leaving $56,000 in assets. Kelsey's share of this is 80%, or $44,800. This will be recorded in her capital account.

What amount will be recorded to Kelsey's capital account?

A) $14,000
B) $24,000
C) $40,000
D) $44,000

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