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Carla Vista Equipment Ltd. wanted to expand into w Brunswick and was impressed by the provincial government's grant program for new industry. Once it was

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Carla Vista Equipment Ltd. wanted to expand into w Brunswick and was impressed by the provincial government's grant program for new industry. Once it was sure that it would quality for the grant programit purchased property in downtown Saint John on June 15, 2020. The property cost $233,000 and Carla Vista spent the ned two months gutting the building and reconstructing the two floors to meet the company's needs. The building has a useful life of 20 years and an estimated residual value of $66.000. Intate August 2020, the company moved into the building and began operations. Additional information follows 1. The property was assessed at $200,000, with 148,000 allocated to the land, 2. Architectural drawings and engineering fees related to the construction cost $18.100 3. The company paid $17.100 to the contractor for gutting the building and 5121,000 for construction. Carta Vista expects that these improvements will last for the remainder of the life of the building 4, The provincial government contributed $77.500 toward the building costs Assuming that the company uses the cost reduction method to account for government assistance, swer the following Do hot round intermediate calculations Round final answers to decimal places, es 5.275) What is the cost of the building on Carta Vista Equipment's statement of financial position at August 31, 2020, its focal year end? Cost of buildings 1 2 What is the effect of this capitalet on the company income statement for the company's year ended August 31 20212 Net effect on income statements Assuming the company uses the deferral method to account for government assistance, answer the following: (Do not round intermediate calculations. Round final answers to decimal places, eg. 5,275) 1 What is the cost of the building on Carla Vista Equipment's statement of hinancial position at August 31 2020? Cost of buildings 2 What is the effect of this capital asset on the company's income statement for the company's vear ended August 31, 20217 Net effect on income statements e Textbook and Media Campare the statement of a position and come statemententions for the two alternative treatments for government assistance for the clear ended August 2021. Do not round intermediate cloons. Round final answers to decimal places 5.275. List Operating se bore Other even Cost Reduction Method Carla Vista Equipment Ltd. (Partial Statement of Financial Position Carla Vista Equipment Ltd. (Partial) Income Statement Deferral Method: Carla Vista Equipment Ltd. (Partial) Statement of Financial Position s Carla Vista Equipment Ltd. (Partial) Income Statement S e Textbook and Media

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