Reward Company made the following acquisitions during the year as follows; Purchased for P5,400,000, including appraiser fee of P50,000, a warehouse building and the land on which it is located. The land had an appraised value of P2,000,000 and original cost of P1,400,000. The building had an appraised value of P3,000,000 and original cost of PP2,800,000. Purchased and office building and the land on which it is located for P7,500,000 cash and assumed an existing P2,500,000 mortgage. For realty tax purposes, the property is assessed at P9,600,000, 60% of which is allocated to building. A. What is the total cost of the land? B. What is the total cost of the building?

Reward Company made the following acquisitions during the year as follows; Purchased for P5,400,000, including appraiser fee of P50,000, a warehouse building and the land on which it is located. The land had an appraised value of P2,000,000 and original cost of P1,400,000. The building had an appraised value of P3,000,000 and original cost of PP2,800,000. Purchased and office building and the land on which it is located for P7,500,000 cash and assumed an existing P2,500,000 mortgage. For realty tax purposes, the property is assessed at P9,600,000, 60% of which is allocated to building. A. What is the total cost of the land? B. What is the total cost of the building?

Name: Reward Company made the following acquisitions during the year as foll
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Description: Reward Company made the following acquisitions during the year as follows; Purchased for P5,400,000, including appraiser fee of P50,000, a warehouse building and the land on which it is located. The land had an appraised value of P2,000,000 and origi

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 11EB: The following intangible assets were purchased by Hanna Unlimited: A. A patent with a remaining...

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