No that is false. Because sports and entertainment usually are short lived while they are being performed they are considered perishable.
Answer:
C) $868,000
Explanation:
The costs associated to the purchase of the tract of land were:
- Purchase price of land = $780,000
- Demolition of old building = $70,000
- Legal fees = $10,000
- Title guarantee insurance = $16,000
- Proceeds from sale of salvaged material = $8,000
The total cost of the land = purchase price + demolition costs + legal fees + title guarantee insurance - proceeds from salvaged materials = $780,000 + $70,000 + $10,000 + $16,000 - $8,000 = $868,000
The demolition costs are capitalized to land because they are a necessary cost to bring the land into its intended condition. Legal fees and title guarantee are necessary to avoid legal problems.
Answer:
Unadjusted Trial Balance $117,590.
Explanation:
<u>Unadjusted Trial Balance of Marjorie Knaus</u> :
<u>Debit </u>
Cash 36,400
Accounts Receivable 20,600
Supplies 2,450
Prepaid Insurance 3,400
Automobiles 33,000
Equipment 10,200
Salary Expense 2,700
Blue Print Expense 1,700
Rent Expense 5,100
Automobile Expense 660
Miscellaneous Expense 1,380
Total 117,590
<u>Credit </u>
Notes Payable 25,300
Accounts Payable 7,240
Common Stock 51,000
Professional Fees 34,050
Total 117,590
