A company paid $660,000 cash to buy a group of plant assets. An independent appraiser assigned the following values to the assets acquired: Land Building Equipment Total $ 297,500 382,500 170,000 $ 850,000 Prepare the journal entry to record the acquisition of these assets. Note: Round answers to the nearest whole dollar amount. View transaction list Journal entry worksheet

A company paid $660,000 cash to buy a group of plant assets. An independent appraiser assigned the following values to the assets acquired: Land Building Equipment Total $ 297,500 382,500 170,000 $ 850,000 Prepare the journal entry to record the acquisition of these assets. Note: Round answers to the nearest whole dollar amount. View transaction list Journal entry worksheet

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Roller Inc. purchased a plant and the land on which the plant was located for a total of $300,000 cash. Roller hired an independent appraiser who gave the estimated market values: plant, $220,000; land, $110,000. a. Complete the entry to record the acquisition (show computation). b. Calculate the depreciation expense recorded at the end of the first year for the plant, if Roller uses the straight-line method, and the plant has a useful life of 10 years and $5000 residual value.
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