Jewelry Company had the following outstanding loans during 2017 and 2018. Specific construction loan 3,600,000 10% General loan 30,000,000 12% The entity began the self-construction of a new building on January 1, 2017 and the building was completed on June 30, 2018. The following expenditures were made: January 1, 2017 4,800,000 April 1, 2017 6,000,000 December 1, 2017 3,600,000 March 1, 2018 7,200,000 Required: Compute for the cost of the building on December 31, 2017 and on June 30, 2018.

Jewelry Company had the following outstanding loans during 2017 and 2018. Specific construction loan 3,600,000 10% General loan 30,000,000 12% The entity began the self-construction of a new building on January 1, 2017 and the building was completed on June 30, 2018. The following expenditures were made: January 1, 2017 4,800,000 April 1, 2017 6,000,000 December 1, 2017 3,600,000 March 1, 2018 7,200,000 Required: Compute for the cost of the building on December 31, 2017 and on June 30, 2018.

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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