Question
In purchasing some land, the Maxim Company made payments for the following: Purchase price $4,000 Past due taxes 320 Title search 150 Cost of razing
In purchasing some land, the Maxim Company made payments for the following:
| Purchase price | $4,000 |
| Past due taxes | 320 |
| Title search | 150 |
| Cost of razing old building | 200 |
| Interest (incurred after productive |
|
| operations had begun) | 120 |
| Proceeds from salvage of old building | 75 |
The recorded cost of the land should be
| a. | $4,350 |
| b. | $4,595 |
| c. | $4,685 |
| d. | $4,760 |
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Accounting The Ultimate Guide To Accounting Principles
Authors: Greg Shields
1st Edition
1722964839, 978-1722964832
