Randall, Inc. purchased land to build an office. In the first quarter, the following amounts were incurred:- Acquisition of land: $140,000- Architectural Fee: $15,900- Lawn sprinkler system: $12,300- Building permits: $3,400- Surveys and legal fees: $2,300- Land clearing: $11,600- Contractor charges for building: $155,000- Fencing: $8,100- Material and labor cost for building: $560,000 - Install lighting and signage: $1,700- Parking lot: $2,200**Question:**What amount should be recorded as the cost of the building in the corporation's books?**Options:**- A. $734,300- B. $617,500- C. $730,900- D. $750,400There are no graphs or diagrams in this content.

Building permit charges are of capital expenses they are not of general expenses Following cost to be capitalized Architecture fee $15900Building permit $3400Contractor charges $155000 For Building Material and labor cost $560000For Building Cost of Building in Corporation books $734300 Cost of Building in Corporation books $734300 Correct option is = A Thanks Hope you understand

Business

Accounting

t K Randall, Inc. purchased land to build an office. In the first quarter, the following amounts were incurred: Acquisition of land Architectural Fee Lawn sprinkler system Building permits Surveys and legal fees Land clearing Contractor charges for building Fencing Material and labor cost for building $140,000 15,900 12,300 3,400 2,300 OA. $734,300 B. $617,500 OC. $730,900 D. $750,400 11,600 155,000 8,100 560,000 Install lighting and signage 1,700 Parking lot 2,200 What amount should be recorded as the cost of the building in the corporation's books?

t K Randall, Inc. purchased land to build an office. In the first quarter, the following amounts were incurred: Acquisition of land Architectural Fee Lawn sprinkler system Building permits Surveys and legal fees Land clearing Contractor charges for building Fencing Material and labor cost for building $140,000 15,900 12,300 3,400 2,300 OA. $734,300 B. $617,500 OC. $730,900 D. $750,400 11,600 155,000 8,100 560,000 Install lighting and signage 1,700 Parking lot 2,200 What amount should be recorded as the cost of the building in the corporation's books?

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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