Sanders Corporation acquired a furnished office building on two acres of land for a lump-sum payment of $4,800,000. An independent appraiser estimated fair values of $2,600,000, $1,560,000, and $1,040,000 for the building, land, and furniture, respectively. Compute the costs recorded by Sanders for the building, land, and furniture, respectively.
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Sanders Corporation acquired a furnished office building on two acres of land for a lump-sum payment of $4,800,000. An independent appraiser estimated fair values of $2,600,000, $1,560,000, and $1,040,000 for the building, land, and furniture, respectively. Compute the costs recorded by Sanders for the building, land, and furniture, respectively.
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- Utica Corporation paid 360,000 to purchase land and a building. An appraisal showed that the land is worth 100,000 and the building is worth 300,000. What cost should Utica assign to the land and to the building, respectively?Simpson and Homer Corporation acquired an office building on three acres of land for a lump-sum price of $2,850,000. The building was completely furnished. According to independent appraisals, the fair values were $880,000, $1,320,000, and $2,200,000 for the building, land, and furniture and fixtures, respectively. The initial values of the building, land, and furniture and fixtures would be: Building Land Fixtures a. $ 880,000 $ 1,320,000 $ 2,200,000 b. $ 570,000 $ 855,000 $ 1,425,000 c. $ 855,000 $ 570,000 $ 1,425,000 d. None of these answer choices are correct. Option B Option C Option D Option AFresh Veggies, Incorporated (FVI), purchases land and a warehouse for $490,000. In addition to the purchase price, FVI makes the following expenditures related to the acquisition: broker's commission, $29,000; title insurance, $1,900; and miscellaneous closing costs, $6,000. The warehouse is immediately demolished at a cost of $29,000 in anticipation of building a new warehouse. Determine the cost of the land and record the purchase (assuming cash was paid for all expenditures). (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the purchase of the land. Note: Enter debits before credits. Transaction 1 Record entry General Journal Clear entry Debit Credit View general Journal
- Fullerton Waste Management purchased land and a warehouse for $710,000. In addition to the purchase price, Fullerton made the following expenditures related to the acquisition: broker's commission, $41,000; title insurance, $8,500; miscellaneous closing costs, $11,500. The warehouse was immediately demolished at a cost of $29,000 in anticipation of the building of a new warehouse. Determine the amounts Fullerton should capitalize as the cost of the land and the building. 3 Capitalized cost of land Capitalized cost of building oColumbia Company incurred the following expenditures related to the land and building: Payment for land and old building 1,750,000 Demolition of old building to prepare the land for the construction of a new building 87,500 Payment to tenants for vacating old building 26,250 Building permit for new construction 52,500 Surveying fee before construction of new building 35,000 Parking lots and driveways (part of building plan) 70,000 Cost of grading, leveling and landfill 78,750 Assessment by city for drainage project 8,750 Construction costs of new building 10,500,000 Temporary quarters for…Fresh Veggies, Inc. (FVI), purchases land and a warehouse for $490,000. In addition to the purchase price, FVI makes the following expenditures related to the acquisition: broker’s commission, $29,000; title insurance, $1,900; and miscellaneous closing costs, $6,000. The warehouse is immediately demolished at a cost of $29,000 in anticipation of building a new warehouse. Determine the amount FVI should record as the cost of the land.
- Pinewood Company purchased two buildings on four acres of land. The lump-sum purchase price was $1,800,000. According to independent appraisals, the fair values were $855,000 (building A) and $475,000 (building B) for the buildings and $570,000 for the land. Required:Determine the initial valuation of the buildings and the land.Pinewood Company purchased two buildings on four acres of land. The lump-sum purchase price was $ 900,000. According to independent appraisals, the fair values were $450,000 (building A) and $250,000 ( building B) for the buildings and $300,000 for the land. Required: Determine the initial valuation of the buildings and the land.help me
- Zeidler Company bought a building and the land on which the building is located for a total cash price of $178,000. The company paid transfer costs of $2,000. Renovation costs on the building were $23,000. An independent appraiser provided market values for the land, $110,000, and building, $330,000 before renovation. Required: 1. Apportion the cost of the property on the basis of the appraised values. (Input all amounts as positive values.) Item Apportioned cost Renovation cost Purchase cost Building Land $ 2. Prepare the journal entry to record the purchase of the building and land, including all expenditures. Assume that all transactions were for cash and that all purchases occurred at the start of the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 3. Compute depreciation of the building at the end of one year, using the straight-line method. Assume an estimated…Zeidler Company bought a building and the land on which the building is located for a total cash price of $183,500. The company paid transfer costs of $3,100. Renovation costs on the building were $14,320. An independent appraiser provided market values for the land, $220,000, and building, $880,000 before renovation. Required: 1. Apportion the cost of the property on the basis of the appraised values. (Input all amounts as positive values.) Item Building Land Apportioned cost $ No 1 149,280 37,320 186,600 Renovation cost $ Transaction 1 14,320 $ 0 Purchase cost 2. Prepare the journal entry to record the purchase of the building and land, including all expenditures. Assume that all transactions were for cash and that all purchases occurred at the start of the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet Building Land $ Cash 163,600 37,320 200,920 General Journal…Soccer Wholesale purchased land and a warehouse for one price of $850,000. In addition to the purchase price, Soccer Wholesale makes the following expenditures related to the acquisition: broker's commission, $44,400; title insurance, $2,800; and miscellaneous closing costs, $7,300. The warehouse is immediately demolished at a cost of $83,900 in anticipation of building a new warehouse. Determine the amount Soccer Wholesale should record as the cost of the land. Cost of the land