ACCOUNTS: Land, Building and Other Accounts Date Year 2022 Item 8-Jun Organization fees paid to the state 16-Jun Land site and old building 30-Jun Corporate Organization costs 2-Jul Title clearance fees 28-Aug Cost of razing old building 1-Sep Salaries of Crawford Corporation executives 1-Sep Cost of acquire patent for special equipment 12-Dec Stock bonus to corporate promoters, 2000 shares of common stock, $50 per share market value 15-Dec County real estate tax 15-Dec Cost of new building completed and occupied on this date Debit 20,000 315,000 30,000 18,400 20,000 60,000 60,000 100,000 14,400 1,750,000 Balance Credit Debit Credit An analysis of this accounts and of others disclosed the following additional information: a. The land site and old building was acquired on June 16, 2022, was valued at $315,000. b. The corporation paid $20,000 for the demolition of the old building, then sold the scrap for $12,000 and credited the proceeds to Miscellaneous Revenue. c. The corporation executives did not participate in the construction fo the new building. d. The county real estate tax was for the six-month period ended December 31, 2022, and was accessed by the county on the land. Required: Prepare a schedule showing each amount and the account to be accounted for. Prepare all neccesary journal entries to account for the above transactions.
ACCOUNTS: Land, Building and Other Accounts Date Year 2022 Item 8-Jun Organization fees paid to the state 16-Jun Land site and old building 30-Jun Corporate Organization costs 2-Jul Title clearance fees 28-Aug Cost of razing old building 1-Sep Salaries of Crawford Corporation executives 1-Sep Cost of acquire patent for special equipment 12-Dec Stock bonus to corporate promoters, 2000 shares of common stock, $50 per share market value 15-Dec County real estate tax 15-Dec Cost of new building completed and occupied on this date Debit 20,000 315,000 30,000 18,400 20,000 60,000 60,000 100,000 14,400 1,750,000 Balance Credit Debit Credit An analysis of this accounts and of others disclosed the following additional information: a. The land site and old building was acquired on June 16, 2022, was valued at $315,000. b. The corporation paid $20,000 for the demolition of the old building, then sold the scrap for $12,000 and credited the proceeds to Miscellaneous Revenue. c. The corporation executives did not participate in the construction fo the new building. d. The county real estate tax was for the six-month period ended December 31, 2022, and was accessed by the county on the land. Required: Prepare a schedule showing each amount and the account to be accounted for. Prepare all neccesary journal entries to account for the above transactions.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:ACCOUNTS: Land, Building and Other Accounts
Date
Year 2022
Item
8-Jun Organization fees paid to the state
16-Jun Land site and old building
30-Jun Corporate Organization costs
2-Jul Title clearance fees
28-Aug Cost of razing old building
1-Sep Salaries of Crawford Corporation executives
1-Sep Cost of acquire patent for special equipment
12-Dec Stock bonus to corporate promoters, 2000 shares
of common stock, $50 per share market value
15-Dec County real estate tax
15-Dec Cost of new building completed and occupied on this date
Debit
20,000
315,000
30,000
18,400
20,000
60,000
60,000
100,000
14,400
1,750,000
Balance
Credit
Debit
Credit
An analysis of this accounts and of others disclosed the following additional information:
a. The land site and old building was acquired on June 16, 2022, was valued at $315,000.
b. The corporation paid $20,000 for the demolition of the old building, then sold the scrap for
$12,000 and credited the proceeds to Miscellaneous Revenue.
c. The corporation executives did not participate in the construction fo the new building.
d. The county real estate tax was for the six-month period ended December 31, 2022, and
was accessed by the county on the land.
Required:
Prepare a schedule showing each amount and the account to be accounted for.
Prepare all neccesary journal entries to account for the above transactions.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education