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.
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- A company purchased land for $96800 cash. The real estate brokers' commission was $3700 and $7500 was spent for demolishing an old building on the land before construction of a new building could start. Proceeds from salvage of the demolished building were $1200. Under the historical cost principle, the cost of land is $108000. $106800. $103100. $96800.A company purchased land for $91300 cash. Real estate brokers' commission was $6000 and $7000 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 would be recorded at?A cormpany purchased land for $80,000 cash. Real estate brokers' comnmission was $5,000 and $10,000 was spent for demolishing an old building on the land before construction of a new building could start. Under the cost concept, the cost of land would be recorded at O $90,000 O $80,000 O $95,000 $85,000 DELL TEBCO
- The Open Grill incurred the following costs in acquiring a new piece of land: Purchase price $80,000 Commissions 4,800 Liability insurance for the first year 1,200 20,000 Cost of removing existing building Sale of salvaged materials (4,000) Total costs $102,000 What is the total capitalized cost of the land? Multiple Choice O O $102,000. $80,000. $100,800. $106,000.A company purchased property for a building site. The costs associated with the property were: Purchase price $175,000 Real estate commissions 15,000 Legal fees. Expenses of clearing the land Expenses to remove old building 800 2,000 1,000 What portion of these costs should be allocated to the cost of the land and what portion should be alloca the cost of the new building? $175,800 to Land; $18,800 to Building O $190,000 to Land; $3,800 to Building $190,800 to Land; $1,000 to Building O $192,800 to Land; $0 to Building O $193,800 to Land; $0 to BuildingDuring the current year, Alanna Co. had the following transactions pertaining to its new office building. Purchase price of land $120,000 Legal fees for contracts to purchase land 5,000 Architech fees 15,000 Demolition of the old building on site 12,000 Sale of scrap from old building 7,000 Construction cost of new building 680,000 A. What should Alanna Co. record on its books for the land? K) The total cost of land includes all costs of preparing the land for use. The demolition cost of the old building is added to the land costs, and the sale of the old building scrap is subtracted from the land cost. $1 B. What should Alanna Co. record on its books for the building?
- During the current year, Alanna Co. had the following transactions pertaining to its new office building. Purchase price of land $120,000 Legal fees for contracts to purchase land 3,000 Architech fees 17,000 Demolition of the old building on site 9,000 Sale of scrap from old building 6,000 Construction cost of new building 700,000 A. What should Alanna Co. record on its books for the land? The total cost of land includes all costs of preparing the land for use. The demolition cost of the old building is added to the land costs, and the sale of the old building scrap is subtracted from the land cost. $fill in the blank 1 B. What should Alanna Co. record on its books for the building? $fill in the blank 2During the current year, Alanna Co. had the following transactions pertaining to its new office building. Purchase price of land $130,000 Legal fees for contracts to purchase land 4,000 Architech fees 16,000 Demolition of the old building on site 12,000 Sale of scrap from old building 5,000 Construction cost of new building 630,000 A. What should Alanna Co. record on its books for the land? The total cost of land includes all costs of preparing the land for use. The demolition cost of the old building is added to the land costs, and the sale of the old building scrap is subtracted from the land cost. B. What should Alanna Co. record on its books for the building?Merchant Company purchased property for a building site. The costs associated with the property were: Purchase price $ 187,000 Real estate commissions 16,200 Legal fees 2,000 Expenses of clearing the land 3,200 Expenses to remove old building 2,200 What portion of these costs should be allocated to the cost of the land and what portion should be allocated to the cost of the new building?
- Purchased land costs 2,500,000 and a Bank transfer is made. The cost of excavation of the old building and the base of the new building is 300,000 + %10VAT, the Property tax paid is 60,000 and Estate company invoice is 30,000+%10VAT is on the account. Please do necessary accounting enteries.Your company has purchased a large new truck-tractor for over-the-road use (asset class 00.26). It has a cost basis of $180,000. With additional options costing $15,000, the cost basis for depreciation purposes is $195,000. Its MV at the end of five years is estimated as $40,000. Assume it will be depreciated under the GDS: Solve, a. What is the cumulative depreciation through the endof year three? b. What is the MACRS depreciation in the fourth year? c. What is the BV at the end of year two?Previn Brothers Inc. purchased a piece of land at a cost of $ 27,000. Closing costs were $ 1,400. An old building was removed at a cost of $ 10,200. How much must be recorded as the cost of the land? Present your answer with the details of all the calculations made to obtain the final cost of the land.