Answer:
Sheffield Realty Corporation
Sales Revenue : Group 1 ( 3 * $4,500) $13,500
Group 2 (9*6,000) 54,000
Group 3(15*3,600) <u> 54,000</u>
283,500
Cost of Lot sold <u> (123,697)</u>
Gross Profit 159,803
Operating Expenses <u> (18,000)</u>
Net Income <u> 141,803</u>
Workings
1. Total cost of building = cost of land + additional cost
= $115,500 + $72,336
= $187,836
2. Total Number of lots available for sales = 8 + 16 +17 = 41
3. Number of lot sold = (8-5) + (16 -7) + (17-2) = 27
4. cost per Lot = $187,836/ 41 = $4,581.37
5. cost of lot sold = $4,581.37 * 27 = $123,696.88
$123,697
Explanation:
