Carver Incorporated purchased a building and the land on which the building is situated for a total cost of $$850,100$ cash. The land was appraised at $$234,628$ and the building at $$742,987$

Required

a$.$ What is the accounting term for this type of acquisition?

b$.$ Determine the amount of the purchase cost to allocate to the land and the amount to allocate to the building

c$.$ Would the company recognize a gain on the purchase?

d$.$ Record the purchase in a horizontal statements model.

Complete this question by entering your answers in the tabs below.

Required $A$

What is the accounting term for this type of acquisition?

What is the accounting term for this type of acquisition?