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kramer
3 years ago
8

Shidan Apartments purchased an apartment building to rent to university students on November 18, 2017. The following costs were

incurred during 2017, before the tenants moved in: Purchase price of the building $220,000 Purchase price of the land 100,000 Transfer taxes 10,000 Interest incurred on the mortgage loan to purchase 4,000 Attorney and real estate agent's fees 15,000 Repave the parking lot 6,000 How much will Shidan Apartments record as an asset
Business
1 answer:
Masteriza [31]3 years ago
3 0

Answer:

$351,000

Explanation:

The computation of the amount of an asset is as follows;

Purchase price of the building $220,000

Purchase price of the land $100,000

Transfer taxes $10,000

Attorney and real estate agent's fees $15,000

Repave the parking lot $6,000

Cost of apartment $351,000

hence, the cost of an apartment is $351,000

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Thus, attention to all members should be given while making any decision.

3 0
3 years ago
The Werner Corporation uses the weighted-average method in its process costing system. The company recorded 24,400 equivalent un
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Answer:

21,000 units

Explanation:

The computation of the number of units started during November in the department is shown below:-

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4 0
3 years ago
If management wants to maximize its stock price, and if it believes that the dividend irrelevance theory is correct, then it mus
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Answer:

The correct answer is False.

Explanation:

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However, some studies show that significant changes in dividends affect the price of shares in the same direction, that is, increases in dividends translate into increases in stock prices, and vice versa. In response, M and M propose that the positive effects of dividend increases be attributed, not to the dividend itself, but to the informational content of dividends with respect to future income. Thus, any increase in dividends would cause investors to raise the price of the shares, while a decrease would cause a corresponding decrease in the price of the shares.

7 0
3 years ago
Chuck has $2,500 invested in a bank that pays 4% annually. The length of time it will take for his funds to double is closest to
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Answer:

The answer is 17.67 years.

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Present value is $2,500

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Interest rate is 4%

Number of years or periods to reach this $5,000 is unknown. So we are looking for this.

To compute this number of periods, lets use Financial calculator.

I/Y = 4; PV= -2,500; FV= 5,000; CPT N= 17.67 years.

Therefore, the number of years to accumulate to $5,000 is 17.67 years

7 0
3 years ago
I have never been one to rebel against authority ( strongly agree or disagree for application
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I would say strongly agree
hope this helps!
4 0
3 years ago
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