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Exercise 7 - 3 A Allocate costs in a basket purchase ( LO 7 - 1 ) Red Rock Bakery purchases land, building, and equipment
Exercise A Allocate costs in a basket purchase LO Red Rock Bakery purchases land, building, and equipment for a single purchase price of $ However, the estimated fair values of the land, building, and equipment are $$ and $ respectively, for a total estimated fair $ Required: Determine the amounts Red Rock should record in the separate accounts for the land, the building, and the equipment. tableLandEstimated Fair Value,tableAllocationPercentagetableAmount of BasketPurchasetableRecordedAmount$$BuildingEquipmentTotal$$
Exercise A Allocate costs in a basket purchase LO
Red Rock Bakery purchases land, building, and equipment for a single purchase price of $ However, the estimated fair values of the land, building, and equipment are $$ and $ respectively, for a total estimated fair $
Required:
Determine the amounts Red Rock should record in the separate accounts for the land, the building, and the equipment.
tableLandEstimated Fair Value,tableAllocationPercentagetableAmount of BasketPurchasetableRecordedAmount$$BuildingEquipmentTotal$$
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