Required In each of these cases, determine the amount of cost to be capitalized in Asset Allocated Costs Total Office equipment Basket purchase: Copier Computer Scanner Total cost to be capitalized Land and building: Cost of land Construction costs Total cost to be capitalized Trinkle Co., Inc. made several purchases of long-term assets in Year 1. The details of each purchase are presented here. New Office Equipment 1. List price: $36,100; terms: 2/10 n/30; paid within discount period. 2. Transportation-in: $800. 3. Installation: $600. 4. Cost to repair damage during unloading: $636. 5. Routine maintenance cost after eight months: $140. Basket Purchase of Copier, Computer, and Scanner for $48,900 with Fair Market Values 1. Copier, $23,560. 2. Computer, $7,657. 3. Scanner, $27,683. Land for New Warehouse with an Old Building Torn Down 1. Purchase price, $84,800. 2. Demolition of building, $4,720. 3. Lumber sold from old building, $2,070. 4. Grading in preparation for new building, $8,400. 5. Construction of new building, $240,000. Required In each of these cases, determine the amount of cost to be capitalized in the asset accounts. Asset Allocated Costs Total
Required In each of these cases, determine the amount of cost to be capitalized in Asset Allocated Costs Total Office equipment Basket purchase: Copier Computer Scanner Total cost to be capitalized Land and building: Cost of land Construction costs Total cost to be capitalized Trinkle Co., Inc. made several purchases of long-term assets in Year 1. The details of each purchase are presented here. New Office Equipment 1. List price: $36,100; terms: 2/10 n/30; paid within discount period. 2. Transportation-in: $800. 3. Installation: $600. 4. Cost to repair damage during unloading: $636. 5. Routine maintenance cost after eight months: $140. Basket Purchase of Copier, Computer, and Scanner for $48,900 with Fair Market Values 1. Copier, $23,560. 2. Computer, $7,657. 3. Scanner, $27,683. Land for New Warehouse with an Old Building Torn Down 1. Purchase price, $84,800. 2. Demolition of building, $4,720. 3. Lumber sold from old building, $2,070. 4. Grading in preparation for new building, $8,400. 5. Construction of new building, $240,000. Required In each of these cases, determine the amount of cost to be capitalized in the asset accounts. Asset Allocated Costs Total
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Required
In each of these cases, determine the amount of cost to be capitalized in
Asset
Allocated Costs
Total
Office equipment
Basket purchase:
Copier
Computer
Scanner
Total cost to be capitalized
Land and building:
Cost of land
Construction costs
Total cost to be capitalized
Transcribed Image Text:Trinkle Co., Inc. made several purchases of long-term assets in Year 1. The details of each purchase are presented here.
New Office Equipment
1. List price: $36,100; terms: 2/10 n/30; paid within discount period.
2. Transportation-in: $800.
3. Installation: $600.
4. Cost to repair damage during unloading: $636.
5. Routine maintenance cost after eight months: $140.
Basket Purchase of Copier, Computer, and Scanner for $48,900 with Fair Market Values
1. Copier, $23,560.
2. Computer, $7,657.
3. Scanner, $27,683.
Land for New Warehouse with an Old Building Torn Down
1. Purchase price, $84,800.
2. Demolition of building, $4,720.
3. Lumber sold from old building, $2,070.
4. Grading in preparation for new building, $8,400.
5. Construction of new building, $240,000.
Required
In each of these cases, determine the amount of cost to be capitalized in the asset accounts.
Asset
Allocated Costs
Total
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