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Christopher Corporation has acquired a property that included both land and equipment for $500,000. The corporation purchased the assets with a note payable. The corporation

Christopher Corporation has acquired a property that included both land and equipment for $500,000. The corporation purchased the assets with a note payable. The corporation hired an appraiser who has determined that the market value of the land is $300,000 and the market value of the equipment is $550,000. What is the journal entry for the lumpsum purchase? (Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar.)

A.

Land

175,000

Building

325,000

Cash

500,000

B.

Land

325,000

Building

175,000

Cash

500,000

C.

Land

175,000

Equipment

325,000

Notes Payable

500,000

D.

Land

325,000

Equipment

175,000

Notes Payable

500,000

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