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James Cavanaugh,proprietor Has Agreed to Take on a Partner

Question 15

True/False

James Cavanaugh,proprietor has agreed to take on a partner.His net assets are market valued at $105,000 with book assets having a net value of $95,000.In the newly created partnership,Cavanaugh's capital will reflect the $95,000 book value of existing assets contributed to the new organization.

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