On March 1, 2021, Beldon Corporation purchased land as a factory site for $71,000. An old building on the property was demolished,and construction began on a new building that was completed on December 15, 2021. Costs incurred during this period are listedbelow:Demolition of old buildingArchitect's fees (for new building)Legal fees for title investigation of landProperty taxes on land (for period beginning March 1, 2021)Construction costsInterest on construction loanComplete this question by entering your answers in the tabs below.Salvaged materials resulting from the demolition of the old building were sold for $3,100.Required:Determine the amounts that Beldon should capitalize as the cost of the land and the new building.Cost of Land Cost of NewBuildingCapitalized cost of land:$ 9,50010,0007,5004,100Determine the amounts that Beldon should capitalize as the cost of the land. (Amounts to be deducted should be indicatedwith a minus sign.)Total cost of land610,00010,500

On March 1, 2021, Beldon Corporation purchased land as a factory site for $71,000. An old building on the property was demoli and construction began on a new building that was completed on December 15, 2021. Costs incurred during this period are list below: Demolition of old building Architect's fees (for new building) Legal fees for title investigation of land Property taxes on land (for period beginning March 1, 2021) Construction costs Interest on construction loan Salvaged materials resulting from the demolition of the old building were sold for $3,100. Required: Determine the amounts that Beldon should capitalize as the cost of the land and the new building. Complete this question by entering your answers in the tabs below. $ 9,500 10,000 7,500 4,100 610,000 10,500 Cost of Land Cost of New Building

On March 1, 2021, Beldon Corporation purchased land as a factory site for $71,000. An old building on the property was demoli and construction began on a new building that was completed on December 15, 2021. Costs incurred during this period are list below: Demolition of old building Architect's fees (for new building) Legal fees for title investigation of land Property taxes on land (for period beginning March 1, 2021) Construction costs Interest on construction loan Salvaged materials resulting from the demolition of the old building were sold for $3,100. Required: Determine the amounts that Beldon should capitalize as the cost of the land and the new building. Complete this question by entering your answers in the tabs below. $ 9,500 10,000 7,500 4,100 610,000 10,500 Cost of Land Cost of New Building

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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