Price Company began construction of a new office building on January 1, 20x3. The building was finished and ready for use on November 30, 20x4. Expenditures on the project were as follows: January 1, 20x3 September 1, 20x3 December 31, 20x3 March 31, 20x4 November 30, 20x4 $321,000 $471,000 $471,000 $471,000 $321,000 Price had $5,700,000 in 10% bonds outstanding throughout both years. Price's weighted-average accumulated expenditures for 20x3 were:

Price Company began construction of a new office building on January 1, 20x3. The building was finished and ready for use on November 30, 20x4. Expenditures on the project were as follows: January 1, 20x3 September 1, 20x3 December 31, 20x3 March 31, 20x4 November 30, 20x4 $321,000 $471,000 $471,000 $471,000 $321,000 Price had $5,700,000 in 10% bonds outstanding throughout both years. Price's weighted-average accumulated expenditures for 20x3 were:

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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Prepare journal entry to recognize the use of direct materials of $55,000 and indirect materials of $5,000.
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