On Jan. 1, Town Company purchased for P5,400,000, including appraiser fee of P50,000, a warehouse building and the land on which it is located. The following data were available concerning the property:   Seller’s original cost Land - P1,400,000 Warehouse building - P2,800,000   Current appraised value Land - P2,000,000 Warehouse building - P3,000,000   What is the initial measurement of the land?  What is the initial measurement of the warehouse building?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On Jan. 1, Town Company purchased for P5,400,000, including appraiser fee of P50,000, a warehouse building and the land on which it is located. The following data were available concerning the property:

 

Seller’s original cost

Land - P1,400,000

Warehouse building - P2,800,000

 

Current appraised value

Land - P2,000,000

Warehouse building - P3,000,000

 

What is the initial measurement of the land? 

What is the initial measurement of the warehouse building? 

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