Question
On April 12, 2023, Prism Ltd., a camera lens manufacturer, paid cash of $563,000 for real estate plus $30,400 cash in closing costs. The real
On April 12, 2023, Prism Ltd., a camera lens manufacturer, paid cash of $563,000 for real estate plus $30,400 cash in closing costs. The real estate included land appraised at $193,280; land improvements appraised at $60,400; and a building appraised at $350,320.
(a) (b) (c) PPE Asset Appraised
Values Ratio of Individual Appraised Value to
Total Appraised Value
(a) ÷ Total Appraised Value Cost Allocation
(b) × Total Actual Cost
Present the journal entry to record the purchase. (Do not round intermediate calculations. Round the final answers to the nearest whole dollar.)
On April 12, 2023, Prism Ltd., a camera lens manufacturer, paid cash of $563,000 for real estate plus $30,400 cash in closing costs. The real estate included land appraised at $193,280; land improvements appraised at $60,400; and a building appraised at $350,320.
(a) (b) (c) PPE Asset Appraised
Values Ratio of Individual Appraised Value to
Total Appraised Value
(a) ÷ Total Appraised Value Cost Allocation
(b) × Total Actual Cost
Present the journal entry to record the purchase. (Do not round intermediate calculations. Round the final answers to the nearest whole dollar.)
On April 12, 2023, Prism Ltd., a camera lens manufacturer, paid cash of $563,000 for real estate plus $30,400 cash in closing costs. The real estate included land appraised at $193,280; land improvements appraised at $60,400; and a building appraised at $350,320.
| (a) | (b) | (c) | |
| PPE Asset | Appraised Values | Ratio of Individual Appraised Value to Total Appraised Value (a) ÷ Total Appraised Value | Cost Allocation (b) × Total Actual Cost |
On April 12, 2023, Prism Ltd., a camera lens manufacturer, paid cash of $563,000 for real estate plus $30,400 cash in closing costs. The real estate included land appraised at $193,280; land improvements appraised at $60,400; and a building appraised at $350,320.
| (a) | (b) | (c) | |
| PPE Asset | Appraised Values | Ratio of Individual Appraised Value to Total Appraised Value (a) ÷ Total Appraised Value | Cost Allocation (b) × Total Actual Cost |
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Contemporary Business Mathematics with Canadian Applications
Authors: S. A. Hummelbrunner, Kelly Halliday, K. Suzanne Coombs
10th edition
133052311, 978-0133052312
