When mini corp acquired the patent its stock was selling


Question - Mini Corp. acquires a patent from Maxi Co. in exchange for 2,500 shares of Mini Corp.'s $5 par value common stock and $90,000 cash. When the patent was initially issued to Maxi Co., Mini Corp.'s stock was selling at $7.50 per share. When Mini Corp. acquired the patent, its stock was selling for $9 a share. Mini Corp. should record the patent at what amount?

A) $108,750

B) $90,000

C) $112,500

D) $102,500

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Accounting Basics: When mini corp acquired the patent its stock was selling
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