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Advocard [28]
2 years ago
15

Samtech Manufacturing purchased land and building for $4 million. In addition to the purchase price, Samtech made the following

expenditures in connection with the purchase of the land and building:
Title insurance $22,000
Legal fees for drawing the contract 8,000
Pro-rated property taxes for the period after acquisition 42,000
State transfer fees 4,600

An independent appraisal estimated the fair values of the land and building, if purchased separately, at $4 and $1 million, respectively. Shortly after acquisition, Samtech spent $88,000 to construct a parking lot and $46,000 for landscaping.

Required:
a. Determine the initial valuation of each asset Samtech acquired in these transactions.
b. Determine the initial valuation of each asset, assuming that immediately after acquisition, Samtech demolished the building. Demolition costs were $310,000 and the salvaged materials were sold for $9,000. In addition, Samtech spent $85,000 clearing and grading the land in preparation for the construction of a new building.
Business
1 answer:
kumpel [21]2 years ago
6 0

Answer: LAND                                 3.227,680

              BUILDING                              806,920

              LAND IMPROVEM                 134,000

Explanation:

Land 4 0.8 $       3.227,680  

Building 1  0.2 $          806,920  

               5  $       4.034,600

Land Improvement    

Parking Lot $         88,000    

Lanscaping $         46,000    

Total  $        134,000

Computation Of Cost Of Land And Building  

Purchase Price  $       4.000,000  

Add:      

Title Insurance Cost  $             22,000  

Legal Fees                  $                8,000  

State Transfer Fees  $                4,600  

Demolition of old building $            310,000  

Land Clearing Expenses $             85,000  

Less: Salvage Material  $              -9,000  

Total Cost Of Land  $      4.420,600    

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aliya0001 [1]

Answer:

the average annual economic growth rate in Taiwan from 1961 to 1981 was 41.42%

Explanation:

Hi, we need to use the following formula.

FV=PV(1+r)^{t}

Where:

FV = GDP in 1981 ($1,000)

PV = GDP in 1961 ($500)

r = growth rate

t = years from 1981 to 1961 (20 years)

So, it should look like this:

1,000=500(1+r)^{20}

Now, we solve for "r"

\frac{1,000}{500} =(1+r)^{20}

2=(1+r)^{20}

\sqrt[20]{2} -1=r

r=0.4142

So, the growth rate of Taiwan´s GDP is 41.42%

Best of luck.

5 0
3 years ago
A bakery invest a portion of profits into sending its employees to a training on how to use more energy-efficient ovens that als
Karo-lina-s [1.5K]
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Answer:

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Explanation:

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Using this formula

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