K. M. Jackson, as his original investment in the firm of Jackson and Scott, contributes equipment that had been recorded in the books of his own business as costing $ 140,000, with accumulated depreciation of $ 86,000. The partners agree on a valuation of $ 65,000. They also agree to accept Jackson’s accounts receivable of $ 72,000, collectible to the extent of 90 percent. Give the journal entry to record Jackson’s investment in the partnership of Jackson and Scott on August 15.
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