A company purchased land for $350000 cash. The real estate brokers' commission was $15000 and $61000 was spent for demolishing an old building on the land before construction of a new building could start. Under the historical cost principle, the cost of land is O $350000. O $365000. $426000. O $411000.

A company purchased land for $350000 cash. The real estate brokers' commission was $15000 and $61000 was spent for demolishing an old building on the land before construction of a new building could start. Under the historical cost principle, the cost of land is O $350000. O $365000. $426000. O $411000.

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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