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In the past weeks we learned about accounting for inventories and long-term assets. Let's extend the discussion by examining the practical implications of these concepts.

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In the past weeks we learned about accounting for inventories and long-term assets. Let's extend the discussion by examining the practical implications of these concepts. The Buildings account of Postera Inc. includes the following item that was used in determining the basis for depreciating the cost of a building: "Interest and taxes during construction." Do you agree with the charge? If not, how would you deal with the item in the corporation's books and in its annual financial statements

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