Jason Miller and Trevor Cane Organize a Partnership on January

Multiple Choice

Jason Miller and Trevor Cane organize a partnership on January 1. Miller initially invests cash of $15,000 and equipment with a fair value of $80,000 with an outstanding note balance of $33,000 that the partnership assumes as debt. Cane initially invests $50,000 cash. The journal entry to record Miller's investment is:

A) Debit J.Miller, Capital $62,000; credit Cash $15,000; credit Equipment $47,000.
B) Debit Cash $15,000; debit Equipment $80,000; credit J.Miller, Capital $62,000; credit Notes Payable $33,000.
C) Debit Cash $15,000; debit Equipment $47,000; credit J.Miller, Capital $62,000.
D) Debit Cash $15,000; debit J.Miller, Capital $32,000; credit Equipment $80,000; credit Notes Payable $33,000.
E) Debit Cash $15,000; debit Equipment $80,000; credit J.Miller, Capital $95,000.