Taylor Computer Services purchased a tract of land and contracted with a builder to build an office building, a parking lot, and landscaping. The following transactions resulted from the contractor's activities. Determine the total costs allocated to the land, building, and land improvements accounts. Purchased land for $135,000 Paid a demolition company $40,000 to remove an old structure on the property Paid $14,000 in delinquent taxes on the property Paid the contractor $333,000 to design and build the office building Paid $34,700 for fencing Paid $39,500 for paving Paid an electrical contractor $14,900 for outdoor lighting Calculate: a. Cost of land? b. Cost of building? c. Cost of land improvements?
Taylor Computer Services purchased a tract of land and contracted with a builder to build an office building, a parking lot, and landscaping. The following transactions resulted from the contractor's activities. Determine the total costs allocated to the land, building, and land improvements accounts.
Purchased land for $135,000
Paid a demolition company $40,000 to remove an old structure on the property
Paid $14,000 in delinquent taxes on the property
Paid the contractor $333,000 to design and build the office building
Paid $34,700 for fencing
Paid $39,500 for paving
Paid an electrical contractor $14,900 for outdoor lighting
Calculate:
a. Cost of land?
b. Cost of building?
c. Cost of land improvements?
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