If the partners agree on a valuation of N9,000 for the equipment, what amount should be debited to the office equipment account?

As part of the initial investment, a partner contributes office equipment that originally cost N20,000 and on which provision for depreciation of N12,500 had been recorded. If the partners agree on a valuation of N9,000 for the equipment, what amount should be debited to the office equipment account?

A N7,500

B N9,000

C N12,500

D N20,000

Answer is B