On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $28,000 in cash and
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Determining cost of land
On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $28,000 in cash and giving a short-term note for $258,000. Legal fees paid were $1,565, delinquent taxes assumed were $10,000, and fees paid to remove an old building from the land were $20,000. Materials salvaged from the demolition of the building were sold for $4,300. A contractor was paid $869,400 to construct a new warehouse.
Determine the cost of the land to be reported on the balance sheet.
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- Denzil Co. purchased land as a factory site for $600,000. Denzil paid $60,000 to tear down two buildings on the land. Salvage was sold for $5,400. Legal fees of $3,480 were paid for title investigation and making the purchase. Architect’s fees were $31,200. Title insurance cost $2,400, and liability insurance during construction cost $2,600. Excavation cost $10,440. The contractor was paid $2,200,000. An assessment made by the city for pavement was $6,400. Interest costs during construction were $170,000. What is the cost of the land that should be recorded by Denzil Co.? $O Determine Cost of Land Four Corners Delivery Company acquired an adjacent lot to construct a new warehouse, paying $29,000 and giving a short-term note for $325,000. Legal fees paid were $2,375, delinquent taxes assumed were $9,200, and fees paid to remove an old building from the land were $22,200. Materials salvaged from the demolition of the building were sold for $5,300. A contractor was paid $1,076,200 to construct a new warehouse. Determin he cost of the land to be reported on the balance sheet.Northwest Delivery Company acquired an adjacent lot to construct a new warehouse, paying $75,000 and giving a short-term note for $90,000. Legal fees paid were $2,500, delinquent taxes assumed were $22,400, and fees paid to remove an old building from the land were $14,500. Materials salvaged from the demolition of the building were sold for $7,500. A contractor was paid $660,000 to construct a new warehouse. Determine the Cost of the land to be reported on the balance sheet.
- On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $32,000 in cash and giving a short-term note for $302,000. Legal fees paid were $1,580, delinquent taxes assumed were $15,200, and fees paid to remove an old building from the land were $19,100. Materials salvaged from the demolition of the building were sold for $5,000. A contractor was paid $1,015,400 to construct a new warehouse. Determine the cost of the land to be reported on the balance sheet.fill in the blank 1 of 1$On March 1, 2021, Sage Hill Company acquired real estate on which it planned to construct a small office building. The company paid $100,000 in cash. An old warehouse on the property was razed at a cost of $7,900; the salvaged materials were sold for $1,800. Additional expenditures before construction began included $1,400 attorney's fee for work concerning the land purchase, $4,100 real estate broker's fee, $8,200 architect's fee, and $13,600 to put in driveways and a parking lot. Determine the amount to be reported as the cost of the land. Cost of the land $Jacobson Company purchased a parcel of land for a new office building. The cost of the land was $310,000. An old building on the property wad demolished and construction began on the new building. All of this activity occurred within the same year. Costs included demolition ($37,000), architect fees on the new building design ($64,000), legal fees for land title investigation ($3,100), and construction ($768,000). At what amount should Jacobson Company record the cost the cost of the building? A B C D $768,000 $832,000 $869,000 $1,078,000
- On March 1, 2025, Wildhorse Co. acquired real estate, on which it planned to construct a small office building, by paying $80,000 in cash. An old warehouse on the property was demolished at a cost of $8,200; the salvaged materials were sold for $1,700. Additional expenditures before construction began included $1,200 attorney's fee for work concerning the land purchase, $4,500 real estate broker's fee, $8,700 architect's fee, and $14,000 to put in driveways and a parking lot. (a) Determine the amount to be reported as the cost of the land. Cost of the land $On March 1, 2022, Wildhorse Company acquired real estate, on which it planned to construct a small office building, by paying $98,000 in cash. An old warehouse on the property was demolished at a cost of $ 11,000; the salvaged materials were sold for $ 3,100. Additional expenditures before construction began included $ 2,000 attorney's fee for work concerning the land purchase, $ 6,300real estate broker's fee, $ 10,800 architect's fee, and $ 18,200 to put in driveways and a parking lot. Determine the amount to be reported as the cost of the land. Cost of the land $ enter the Cost of the land in dollarsDetermining Cost of Land On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $27,000 in cash and giving a short-term note for $256,000. Legal fees paid were $2,200, delinquent taxes assumed were $9,800, and fees paid to remove an old building from the land were $20,700. Materials salvaged from the demolition of the building were sold for $4,200. A contractor was paid $860,300 to construct a new warehouse. Determine the cost of the land to be reported on the balance sheet.
- Auto purchased a $500,000 tract of land that is intended to be the site of a new office complex. The company incurred additional costs and realized salvage proceeds as follows: Demolilitipn of existing building on site: $75,000 Legal and other fees to close escrow: $15,000 Proceeds from sale of demolition scrap: $10,000 What would be the cost of land? A. $500,000 B. $575,000 C. $580,000 D. $590,000Rossy Investigations purchased land, paying $94,000 cash plus a $230,000 note payable. In Addition, Rossy Investigations paid delinquent property tax of $4,000, title insurance costing $5,000, and $4,000 to level the land and remove an unwanted building. The company then constructed an office building at a cost of $440,000. It also paid $52,000 for a fence around the property, $19,000 for a sign near the entrance, and $5,000 for special lighting on the grounds. Determine the cost of the land, land improvements, and building. Account Land Land Improvements Purchase price Note payable Property tax Title insurance Remove building Construct building Fence Sign Lighting Totals BuildingCala Manufacturing purchases land for $459,000 as part of its plans to build a new plant. The company pays $39,800 to tear down an old building on the lot and $58,835 to fill and level the lot. It also pays construction costs of $1,498,000 for the new building and $94,558 for lighting and paving a parking area. Prepare a single journal entry to record these costs incurred by Cala, all of which are paid in cash. View transaction list Journal entry worksheet A Record the total costs of the plant assets. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Record entry Clear entry View genera
