Cullumber Chrome Bumpers bought two acres of land with an old office building on it that was deemed unusable. The cost was $403,200 of which Cullumber Chrome paid $67,200 in cash as a down payment and signed a 7% mortgage for the remainder. Cullumber Chrome immediately had the old building razed at a total cost of $7,300 and sold the salvaged materials for $1,840. Attorneys were paid $920 in connection with the purchase. The architect's fee for drawing building plans for the new building cost $5,720. Cullumber Chrome paid $2,600 in connection with permits and zoning variances necessary prior to construction of the new building. Cullumber Chrome paid the contractor $1,192,800 for construction of the new building, along with $35,280 for a parking lot and necessary walkways and driveways. Answer the following question. (a) At what amount should the land be recorded? Land be recorded $
Cullumber Chrome Bumpers bought two acres of land with an old office building on it that was deemed unusable. The cost was $403,200 of which Cullumber Chrome paid $67,200 in cash as a down payment and signed a 7% mortgage for the remainder. Cullumber Chrome immediately had the old building razed at a total cost of $7,300 and sold the salvaged materials for $1,840. Attorneys were paid $920 in connection with the purchase. The architect's fee for drawing building plans for the new building cost $5,720. Cullumber Chrome paid $2,600 in connection with permits and zoning variances necessary prior to construction of the new building. Cullumber Chrome paid the contractor $1,192,800 for construction of the new building, along with $35,280 for a parking lot and necessary walkways and driveways. Answer the following question. (a) At what amount should the land be recorded? Land be recorded $
Business Its Legal Ethical & Global Environment
10th Edition
ISBN:9781305224414
Author:JENNINGS
Publisher:JENNINGS
Chapter12: Contracts And Sales:introduction And Formation
Section: Chapter Questions
Problem 10QAP
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![Cullumber Chrome Bumpers bought two acres of land with an old office building on it that was deemed unusable. The cost was
$403,200 of which Cullumber Chrome paid $67,200 in cash as a down payment and signed a 7% mortgage for the remainder.
Cullumber Chrome immediately had the old building razed at a total cost of $7,300 and sold the salvaged materials for $1,840.
Attorneys were paid $920 in connection with the purchase. The architect's fee for drawing building plans for the new building cost
$5,720. Cullumber Chrome paid $2,600 in connection with permits and zoning variances necessary prior to construction of the new
building. Cullumber Chrome paid the contractor $1,192,800 for construction of the new building, along with $35,280 for a parking lot
and necessary walkways and driveways.
Answer the following question.
(a)
At what amount should the land be recorded?
Land be recorded $](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ffeeb79a1-23ea-4f54-b610-a8910f30c066%2Fec6dd606-993a-49f6-9c08-1865a88139c5%2Fgqs9v6l_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Cullumber Chrome Bumpers bought two acres of land with an old office building on it that was deemed unusable. The cost was
$403,200 of which Cullumber Chrome paid $67,200 in cash as a down payment and signed a 7% mortgage for the remainder.
Cullumber Chrome immediately had the old building razed at a total cost of $7,300 and sold the salvaged materials for $1,840.
Attorneys were paid $920 in connection with the purchase. The architect's fee for drawing building plans for the new building cost
$5,720. Cullumber Chrome paid $2,600 in connection with permits and zoning variances necessary prior to construction of the new
building. Cullumber Chrome paid the contractor $1,192,800 for construction of the new building, along with $35,280 for a parking lot
and necessary walkways and driveways.
Answer the following question.
(a)
At what amount should the land be recorded?
Land be recorded $
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