Magical Manufacturing Company purchased land, a building, and some vehicles on January 7, 2021, for $520,000 cash. The land was appraised at $75,000, the building at $330,000, and the vehicles at $95,000. REQUIRED: Allocate purchase price (show your work) and prepare the journal entry to record the transaction.

Magical Manufacturing Company purchased land, a building, and some vehicles on January 7, 2021, for $520,000 cash. The land was appraised at $75,000, the building at $330,000, and the vehicles at $95,000. REQUIRED: Allocate purchase price (show your work) and prepare the journal entry to record the transaction.

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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