FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Determining cost of land
On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $28,000 in cash and giving a short-term note for $258,000. Legal fees paid were $1,565, delinquent taxes assumed were $10,000, and fees paid to remove an old building from the land were $20,000. Materials salvaged from the demolition of the building were sold for $4,300. A contractor was paid $869,400 to construct a new warehouse.
Determine the cost of the land to be reported on the balance sheet.
fill in the blank 1 of 1$
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