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question B please Sunland Farms purchased real estate for $1,180,000, which included $6,400 in legal fees. it paid $245,000 cash and incurred a mortgage payable
question B please
Sunland Farms purchased real estate for $1,180,000, which included $6,400 in legal fees. it paid $245,000 cash and incurred a mortgage payable for the balance. The real estate included land that was appraised at $478,800,a building appraised at $731,500 and fences and other land improvements appraised at $119,700. The building has an estimated useful life of 60 years and a $46,000 residual value. Land improvements have an estimated 15 -year useful life and no residual value. (a) Calculate the cost that should be allocated to each asset purchased, Land Bullding Land Improvements \$ $ Record the purchase of the real estate. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter 0 for the amounts. List all debit entries before credit entries.) Step by Step Solution
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