Sunland Company acquires land for $280000 cash. Additional costs are as follow. Removal of shed $2100 Filling and grading 7200 Salvage value of lumber of shed 1270 Broker commission 4520 Paving of parking lot 42000 Closing costs 3500 Sunland will record the acquisition cost of the land as $296050. $297320. $298590.

Sunland Company acquires land for $280000 cash. Additional costs are as follow. Removal of shed $2100 Filling and grading 7200 Salvage value of lumber of shed 1270 Broker commission 4520 Paving of parking lot 42000 Closing costs 3500 Sunland will record the acquisition cost of the land as $296050. $297320. $298590.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Clutch Company purchased equipment and incurred the following costs as part of the purchase:…

A: The costs incurred to acquire the assets are treated as capitalized costs. The capitalized costs…

Q: Fresh Veggies, Inc. (FVI), purchases land and a warehouse for $430,000. In addition to the purchase…

A: Cost of fixed assets shall include it's Purchase cost (Historical cost) and all cost incurred to…

Q: Required Information (The following Information applies to the questions displayed below.) On…

A: Allocation of costs: Allocation of purchase price Appraised value Percent of the total…

Q: Target purchased equipment. The following data relates to the purchase: Purchase cost Purchase cost…

A: The Depreciation expense is charged on fixed assets as reduction in the value of the fixed assets…

Q: Keira's Kar Company purchases a Machine and incurs the following costs: $250,000 $5,000 $1,500…

A: Cost of the machine cost that is measured for property plant and equipment includes all the costs…

Q: 1 QUE Sunland Company acquires land for $85700 cash. Additional costs are as follows: Removal of…

A: “Hey, since there are multiple questions posted, we will answer only one question, as per our…

Q: Diego Company paid $186,000 cash to acquire a group of items consisting of land appraised at $53,000…

A: Formula: Cost allocated to Land = Total amount paid x Appraisal value of Land / Total Appraisal…

Q: AI Maha Company purchased equipment and had the following costs: Repairing of roof RO 14,750…

A: Cost of acquisition is the cost that an organization recognizes and records the value of an asset in…

Q: Required information [The following information applies to the questions displayed below.] Shahia…

A: The journal entries are prepared to record the transactions on regular basis. The adjustment entries…

Q: choose correct option

A: Step 1: Introduction to Acquisition Cost:Acquisition cost, often known as "book value" or "asset…

Q: provide the answer

A: Step 1: Calculation of Total market valueLand: $20,000Building: $150,000Office furniture:…

Q: Samtech Manufacturing purchased land and a building for $4 million. In addition to the purchase…

A: Land is the non-current asset that is usually held by the entity for using to run its business…

Q: The capitalized cost of the equipment was

A: The capitalised cost of equipment is all the costs incurred by the company up to the installation of…

Q: Concord Company acquires land for $86700 cash. Additional costs are as follows: Removal of shed…

A: The cost of land improvements includes all expenditures associated with making the improvements…

Q: Required information [The following information applies to the questions displayed below.] Timberly…

A: Accelerated depreciation is the depreciation method that depreciates the asset in a more quickly.…

Q: Oriole Company acquires land for $86300 cash. Additional costs are as follows: Removal of shed…

A: The cost of the Acquisition of every property includes the commonly cost of the property and broker…

Q: A company purchased land for $350000 cash. The real estate brokers' commission was $15000 and $61000…

A: The cost of land includes all the expenses that make the land ready to use. It includes expenses…

Q: Tea Tree Bay Ltd acquires a Gizmo Machine from Jetsons Ltd for the following consideration: Cash…

Q: Required information [The following information applies to the questions displayed below.] On…

A: The depreciation expense is charged on the fixed assets as a reduction in the value of the fixed…

Q: Marigold Corp. acquires land for $100000 cash. Additional costs are as follows: Removal of shed…

A: Given Information: Acquiring price of land: $100000 Removal of shed: $430 Filling and grading: $3300…

Q: Jsjs

A: Depreciable Base:Cost of Building 2: $619,500Salvage value: $85,000Depreciable base = Cost - Salvage…

Q: Smitty Inc. wishes to use the revaluation model for this property: Before Revaluation • Building…

A: Journal entries are prepared to record the financial and non-financial transactions of the business…

Q: AI Maha Company purchased equipment and had the following costs: Repairing of roof RO 14,750…

A: Particulars Amount Cash price RO 25,250 Insurance during transit 570 Sales tax 2,870…

Q: The following data relate to a firm's purchase of a machine used in the manufacture of its product:…

A: Assets: Properties or things owned by business called Assets. Example: Machinery , furniture etc.

Q: Keaubie Co. Purchased laying at a cost of 250,000 cash the property had a building on it that was…

A: Cost of land = Purchase price + Demolished cost - Proceeds from salvaged materials + Legal fees +…

Q: LU08.1: Determining Cost of Land On-Time Delivery Company acquired an adjacent lot to construct a…

A: At the time of recording or capitalising fixed assets, purchase costs along with all costs that are…

Q: WinCo Foods purchased land and a building for a total price of $2,080,000. Individually, the land…

A: The concept of acquisition cost allocation based on appraised value involves dividing the total…

Question

Sunland Company acquires land for $280000 cash. Additional costs are as follow.

Removal of shed	$2100
Filling and grading	7200
Salvage value of lumber of shed	1270
Broker commission	4520
Paving of parking lot	42000
Closing costs	3500

Sunland will record the acquisition cost of the land as

$296050.

$297320.

$298590.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Turpen Corporation purchased a large forest for $13,000,000 on January 1, 2023. Turpen Corporation estimates that 4,000,000 board feet (BF) of Sumber can be harvested, After 10 years, Turpen Corporation will sell the land and expects it to be worth $3,000,000 Required al Prepare the journal entry to record the purchase of the forest Do not enter dollar.sions.or.commes in the input boxes Date: Account Title and Explanation Debit Record the purchase of the forest b) Calculate the depletion rate for each board foot to be extracted Round your answers to 2 decimal places. Unit Cost Der board foot = Dec 31 c) During the current year, the company harvested and sold 500,000 board feet. Prepare the journal entry to record the harvesting on December 31, 2023 Bound your answers to the nearest whole number. Date Account Title and Explanation Record depletion for the year • Credit Debit Credit
i need the answer quickly
Nathan Jacob’s Company paid $450,000 to acquire land, building, and equipment. At the time of the acquisition, Nathan Jacob's $15,000 to have the property appraised. The following values were determined from the appraisal: land, $125,000; building, $235,000; and equipment, $150,000. Required: 1. What cost should Nathan Jacob’s assign to the land, buildings, and equipment, respectively? 2. Provide the journal entry to record the acquisition on the books of Nathan Jacob’s.
A company purchased land for $91000 cash. Real estate brokers' commission was $6000 and $6900 was spent for demolishing an old building on the land before construction of a new building could start. Under the historical cost principle, the cost of land would be recorded at O $69000. O $103900. O $91000. O $109900.
Zabinski Co. paid $150,000 for a purchase that included land, building, and office furniture. An appraiser provided the following estimates of the market values of the assets if they had been purchased separately: Land, $20,000, Building, $150,000, and Office furniture, $30,000. Based on this information the cost that would be allocated to the land is: a. $17,500 b. $20,000 c. $25,000 d. $15,000
A1 Wholesale Jewelry Company acquires land for $240,000 cash. Additional costs are as follows: Removal of shed $2,000 Filling and grading 6,000 Proceeds from sale of salvage 1,280 materials Broker commission 4,520 Paving of parking lot 40,000 Closing costs 3,400 A1 will record the acquisition cost of the land at A) $255,920. B) $240,000. C) $254,640. D) $257,200.
Please help me
Novak Company acquires land for $56200 cash. Additional costs are as follows: Removal of shed $1720 Filling and grading Paving of parking lot Closing costs 1450 O $60060. O $56200. O $56890. $40050 9000 690 Novak will record the acquisition cost of the land as