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Business, 12.02.2020 02:15 Sanonymous

Clay Township owned an idle parcel of real estate consisting of land and a factory. Clay gave title to this realty to Wolf Co. as an incentive for Wolf to establish a factory in the Township. Wolf paid nothing for this realty, which had a fair value of $200,000 at the date of the grant. In accordance with traditional practice, Wolf may record this nonmonetary transaction as aMemo entry only.
a. Credit to retained earnings for $200,000.b. Credit to other comprehensive income for $200,000.c. Credit to a contributed capital account for $200,000

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Clay Township owned an idle parcel of real estate consisting of land and a factory. Clay gave title...

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