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solniwko [45]
3 years ago
5

Cala Manufacturing purchases land for $357,000 as part of its plans to build a new plant. The company pays $44,900 to tear down

an old building on the lot and $66,374 to fill and level the lot. It also pays construction costs $1,616,200 for the new building and $102,019 for lighting and paving a parking area. Prepare a single journal entry to record these costs incurred by Cala, all of which are paid in cash.
Business
1 answer:
Nutka1998 [239]3 years ago
6 0

Answer and Explanation:

The journal entry to record the given cost is shown below:

Land Dr  ($357,000 + $44,900 + $66,374) $468,274

Building Dr $1,616,200

Land improvement Dr $102,019

    To Cash $2,186,493

(being the cash paid is recorded)

Here land, building & land improvement is debited as it increased the assets and credited the cash as it decreased the assets

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The present market price of Moribund stock stands at $22.58.

<h3>What is market price?</h3>
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brainly.com/question/14612966

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