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Bronco Inc. purchases 4 acres of land for $200,000. Other costs related to the land are: attorney's fees related to the purchase $2,000; $5,000
Bronco Inc. purchases 4 acres of land for $200,000. Other costs related to the land are: attorney's fees related to the purchase $2,000; $5,000 realtors commission; $1,000 property taxes for the upcoming year and $500 insurance for the next 12 months. What is the cost of the land? Select one: O a. $207,000 O b. $205,000 O c. $208,500 O d. $200,000 Lake Company purchases a delivery truck for cash of $40,000. Lake also paid $3,000 sales tax; $500 painting to put the company name, logo and contact information on the sides and back of the truck; $100 for the year's license fee and $1,000 for a one year accident insurance policy. What is the cost of the truck? Select one: O a. $43,000 O b. $43,500 O c. $44,600 O d. $40,000 Lake Company purchases equipment for cash of $40,000. Lake also paid $4,000 sales tax; $500 freight; and $2,500 installation. The salvage value is $10,000. What is the depreciable cost of the equipment? Select one: Oa. $37,000 O b. $47,000 c. $30,000 604000
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