Question

​Bachman, Inc. plans to develop a shopping center. In the first​ quarter, the following amounts were​ spent: Acquisition of land $ 22 comma 000 Surveys and legal fees 1 comma 500 Land clearing 800 Fencing 3 comma 000 Install lighting and signage 1 comma 260 What amount should be recorded as the cost of the land in the​ corporation's books?

Answer 1

Answer:

The cost of the land should be recorded by Bachman, Inc. = $24,300.

Explanation:

The cost of the land should be recorded by Bachman, Inc. = Acquisition of land + Surveys and legal fees + Land clearing

Given,

Acquisition of land        = $22,000

Surveys and legal fees = 1,500

Land clearing                = 800

Putting the values into the formula, we can get

The cost of the land should be recorded by Bachman, Inc. = Acquisition of land + Surveys and legal fees + Land clearing

The cost of the land should be recorded by Bachman, Inc. = $22,000 + 1,500 + 800

The cost of the land should be recorded by Bachman, Inc. = $24,300

Fencing and  Install lighting and signage will not add The cost of the land should be recorded by Bachman, Inc.