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Farrell, Inc. purchased land for $90,000 by signing a note payable for the same amount. Additionally, Farrell paid cash for the following: title insurance of
Farrell, Inc. purchased land for $90,000 by signing a note payable for the same amount. Additionally, Farrell paid cash for the following: title insurance of $900, a commission of $9,000 $3,400 to remove an unwanted building, 52,200 to level and grade the property, $22,000 for paving, 521,000 to construct a fence around the perimeter, and $6.200 for lighting. The joumal entry for the cash payment is: O A. debit land 599,900, debit land improvement $54,800, credit cash $154,700 OB. debit land $15,500, debit land improvement $49,200, credit cash $64,700 Oc debit land $105,500, debit land improvement $49,200, credit cash $154,700 OD. debit land $9.900debit land improvement $54,800, credit cash $64.700
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