Item$5$

$12$

points

eBookPrintReferencesCheck my workCheck My Work button is now enabled$2$Item $5$

Parks Inc. had recently completed construction of a new manufacturing facility. Prior to the approval of the building permits, the company operated a parking lot on the land. This lot had revenues, net of costs, of $$166,800.$ Construction will take place over an $18-$month period. Total construction costs were as follows:

Material $ $713,600$

Labour $1,340,000$

Incremental overhead $376,000$

General overhead $141,600$

Interest costs on general loan $265,600$

Cost of building permits $57,600$

Required:

Provide the total amount of construction costs that would be capitalized to the cost of the building using ASPE. Indicate the items that are different as compared to IFRS. $($Negative amounts should be indicated by a minus sign.$)$

PrevQuestion $5$ of $8$ Total$5$ of $8$Visit question mapNext