Determine the costs that would appear on the balance sheet of Smith Co. Ltd, in relation to
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Determine the costs that would appear on the balance sheet of Smith Co. Ltd, in relation to land and a building, based on the following information:
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Purchase price of plant site Building materials (includes $10 000 in materials wasted because of worker inexperience) Machinery installation charges Grading and draining plant site Labour costs of construction (Smith Co. used its own workers to build the plant rather than laying them off because business was slack. However, the labour to build the plant cost $40 000 more than outside contractors would have charged, because of inside workers' inexperience and inefficiency.) Machinery purchase cost Machinery delivery charges Parking lot grading and paving Replacement of building windows shot out by vandals before production start-up Architect's fees $ 175 000 700 000 40 000 20 000 500 000 1 000 000 10 000 60 000 7 000 40 000
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Financial Accounting An Integrated Approach
ISBN: 9780170411028
7th Edition
Authors: Ken Trotman, Elizabeth Carson
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