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Yanka [14]
3 years ago
13

Land was acquired in 2016 for a future building site at a cost of $40,300. The assessed valuation for tax purposes is $28,000, a

qualified appraiser placed its value at $50,000, and a recent firm offer for the land was for a cash payment of $44,000. The land should be reported in the financial statements at:
a) $ 28,000.

b) $ 50,000.

c) $ 44,000.

d) $ 40,300.
Business
1 answer:
SSSSS [86.1K]3 years ago
7 0

Answer:

d) $ 40,300.

Explanation:

At the time of recording of the fixed assets, the fixed assets should be recorded at purchase cost or historical price

Since in the question, the land was acquired at $40,300 and the assessed valuation for tax purposes is also done for $28,000 plus there is a qualified appraiser for $50,000 and the cash payment is also made for $44,000

But at the time of reporting, the balance sheet would show at the acquired price i.e $40,300

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Answer:

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3 years ago
Explain how a price system moves a market toward the quilibrium price
lions [1.4K]

Answer:

By setting the price of goods and services at a level where the suppliers and consumers feel comfortable, the quantity of goods and services supplied will be the same as the quantity of goods demanded.

Explanation:

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Prices are a reflection of the consensus between suppliers and consumers about the value of goods and services. The equilibrium price can be defined as the price where the quantity of goods supplied equals the quantity demanded. By setting the price of goods and services at a level where the suppliers and consumers feel comfortable, the quantity of goods and services supplied will be the same as the quantity of goods demanded.

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Answer:

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