Ask Question
11 February, 15:16

Radner Shipping purchased a truck and a trailer for $90,000. An appraisal has set the fair market values of the truck and the trailer at $60,000 and $40,000, respectively. At what amount should Radner record the truck?

a. $60,000

b. $54,000

c. $36,000

d. $0

+4
Answers (1)
  1. 11 February, 18:01
    0
    Truck $54,000

    Explanation:

    Basket purchase price of assets is always pro rated in ratio of their fair values

    =90,000 * (60,000/100,000

    =54,000

    Truck=$54,000

    Trailer=90,000-54,000=$36,000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Radner Shipping purchased a truck and a trailer for $90,000. An appraisal has set the fair market values of the truck and the trailer at ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers