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Metropolitan Masonry Made a Basket Purchase of Three Items

Question 123

Multiple Choice

Metropolitan Masonry made a basket purchase of three items.Item X was appraised at $35,000;item Y was appraised at $55,000 and item Z was appraised at $60,000.The purchase price was $125,000.The amount at which item Y should be recorded is:


A) ($55,000/$125,000) × $150,000.
B) ($55,000/$150,000) × $125,000.
C) ($55,000/$95,000) × $150,000.
D) ($55,000/$95,000) × $125,000.

Correct Answer:

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