Diego Company paid $186,000 cash to acquire a group of items consisting ofland appraised at $53,000 and a building appraised at $159,000. Allocate totalcost to these two assets and prepare an entry to record the purchase.Complete this question by entering your answersGeneralTotal CostJournalAllocate total cost to these two assets.Percent of Total Apportioned CostLandBuildingTotals< Total CostGeneral Journal >

Allocation of cost of a lump-sum payment is based on the proportion of assets

Diego Company paid $186,000 cash to acquire a group of items consisting of land appraised at $53,000 and a building appraised at $159,000. Allocate total cost to these two assets and prepare an entry to record the purchase.

Diego Company paid $186,000 cash to acquire a group of items consisting of land appraised at $53,000 and a building appraised at $159,000. Allocate total cost to these two assets and prepare an entry to record the purchase.

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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Question

Diego Company paid $186,000 cash to acquire a group of items consisting of
land appraised at $53,000 and a building appraised at $159,000. Allocate total
cost to these two assets and prepare an entry to record the purchase.
Complete this question by entering your answers
General
Total Cost
Journal
Allocate total cost to these two assets.
Percent of Total Apportioned Cost
Land
Building
Totals
< Total Cost
General Journal >

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