1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Fittoniya [83]
3 years ago
6

On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $27,000 and giving a short-term note for

$247,000. Legal fees paid were $2,435, delinquent taxes assumed were $15,100, and fees paid to remove an old building from the land were $19,400. Materials salvaged from the demolition of the building were sold for $4,100. A contractor was paid $833,000 to construct a new warehouse.
Required:
1. Determine the cost of the land to be reported on the balance sheet.
Business
1 answer:
crimeas [40]3 years ago
5 0

Answer:

$306,835

Explanation:

Data provided

Legal fees paid = $2,435

Delinquent taxes = $15,100

Fees paid to remove old building = $19,400

Material salvage sold = $4,100

The computation of the cost of the land to be reported on the balance sheet is below:-

Amount paid to acquire adjacent lot = $27,000 + $247,000

= $274,000

Total cost of land = Amount paid to acquire adjacent lot + Legal fees paid + Fees paid to remove old building - Material salvage sold

= $274,000 + $2,435 + $15,100  + $19,400  - $4,100

= $306,835

You might be interested in
Mike is applying for a home loan and wants to buy a house worth $150,000 in a neighborhood close to his work. however, he only h
hichkok12 [17]

Pay PMI (private mortgage insurance) which is the amount the lender charges to protect their interests in case the borrower stops paying and defaults on the loan.

6 0
2 years ago
Janice has calculated the GDP for 2018 by using the total final goods and services times the 2018 prices of total goods and serv
zubka84 [21]

Answer:

a. Janice must adjust the total value 2018 GDP for inflation.

Explanation:

Gross domestic product is defined as the amount of goods and services produced by a country in a particular period. It is a measure of economic growth of the country.

Real GDP is calculated from GDP by adjusting for inflation of deflation. Real GDP gives a more clear picture of the economy since it considers the reality of inflationary effect on prices.

For example when prices go up and GDP is used, it will seem the country is producing more. Which is a wrong assumption.

Real GDP give a more accurate insight into a countrie's productivity.

5 0
3 years ago
You invest $1,000 now, at an annual simple interest rate of 6%. What is the effective rate of interest in the fifth year of your
Delvig [45]

Answer:

The effective rate of interest in the fifth year is 6.15%

Explanation:

Mathematically, the effective rate of interest can be calculated as follows;

Reff = (1 + r/y)^y - 1

where;

r is the interest rate = 6% = 6/100 = 0.06

y is the period = 5 years

Substituting these values;

Reff = (1 + 0.06/5)^5 - 1

Reff = (1 + 0.012)^5 - 1

Reff = 1.012^5 - 1

Reff = 1.061457 - 1

Reff = 0.0615 which is 6.15%

3 0
3 years ago
Optimism imagine that the economy is in long-run equilibrium. then, perhaps because of improved international relations and incr
Feliz [49]
<span>Under economic conditions where people are optimistic about the stability and equilibrium of the economy, price levels are likely to rise and GDP is likely to rise similarly. Confidence and optimism about future economic stability would allow consumers to buy good with confidence and for growth in price level and growth in real GDP to take place gradually and continually.</span>
8 0
3 years ago
A new investment adviser that will use a passive management approach opens its first account with a customer that is placing $10
PtichkaEL [24]

Answer:

B.

Explanation:

Based on the information provided it can be said that the investment adviser should recognize that the customer's request is not within the scope of the adviser's expertise and retain an outside investment counsel. A "passive" investment manager believes in results generated by a diversified portfolio over one of individually selected stocks. Since the individual wants the adviser to choose the stocks, then the adviser has the responsibility to step back due to his lack of expertise selecting an individual stock portfolio and advise the individual to retain another investment advisor.

4 0
2 years ago
Other questions:
  • Kornett Company during its first fiscal year ended December 31, 2016, Journalize the selected transactions, starting on page 21
    14·1 answer
  • True or false A coupon is the stated interest on a corporate, municipal, or government bond.
    11·1 answer
  • Before attempting to lift any material, _________.
    12·1 answer
  • "During the project life cycle, project managers encounter many occasions to employ their negotiating skills in interactions wit
    5·1 answer
  • Tiger Equipment Inc., a manufacturer of construction equipment, prepared the following factory overhead cost budget for the Weld
    9·1 answer
  • A decrease in direct materials costs often results in a,a. Favorable sales volume variance. b. None of the answers are correct.
    8·2 answers
  • Carlos Landry finds he has less and less energy to go to work each day. On average he misses two days a week. Carlos may be suff
    13·1 answer
  • Advances in technology have reduced the cost of manufacturing MP3 players if demand does not change
    14·1 answer
  • Where did the indestrial revolution starts and why did it beinging there​
    14·1 answer
  • How would a list of personal property and its worth help when
    6·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!