Question
On January 1, 2016, Dreamworld Co. began construction of a new warehouse. The building was finished and ready for use on September 30, 2017. Expenditures
On January 1, 2016, Dreamworld Co. began construction of a new warehouse. The building was finished and ready for use on September 30, 2017. Expenditures on the project were as follows:
January 1, 2016 $300,000
September 1, 2016 $450,000
December 31, 2016 $450,000
March 31, 2017 $450,000
September 30, 2017 $300,000
Dreamworld had $5,000,000 in 12% bonds outstanding through both years.
Dreamworld's average accumulated expenditures for 2016 was:
| a. | $300,000 | |
| b. | $450,000 | |
| c. | $525,000 | |
| d. | $600,000 |
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Introductory Accounting Finance And Auditing For Lawyers
Authors: Lawrence A. Cunningham
5th Edition
0314912606, 978-0314912602
