Merchant Company purchased land for a building site. The costs associated with the property were: Purchase price $ 188,000 Real estate commissions 16,300 Legal fees 2,100 Expenses of clearing the land 3,300 What is the total recorded cost of the land? Mutiple Choice $192,100 $206,400 $188,000 $209,700 $204,300
Mortgages
A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.
Mortgage
The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.
Merchant Company purchased land for a building site. The costs associated with the property were:
| Purchase price | $ 188,000 |
|---|---|
| Real estate commissions | 16,300 |
| Legal fees | 2,100 |
| Expenses of clearing the land | 3,300 |
What is the total recorded cost of the land?
Mutiple Choice
-
$192,100
-
$206,400
-
$188,000
-
$209,700
-
$204,300
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