Recording Land Acquisition Costs The following four cases are descriptions of land purchases. For each separate case: a. Determine the cost used for recording the land acquired b. Record the journal entry on the date of the land's acquisition Case One Case Two Case Three Case Four 1. At the midpoint of the current year, a $96,000 check is given for land, and the buyer assumes the liability for unpaid taxes in arrears of $2,400 at the end of last year and those assessed for the current year of $2,160. a. Determine the cost used for recording the land acquired. Cost of land $ 41,450 x b. Record the journal entry on the date of the land's acquisition. Note: Record your credit accounts in alphabetical order using the first letter of the account name. Account Name Dr. Cr. Land x 0 Common Stock Insurance Expense 1,450 X X 0 X Recording Land Acquisition Costs The following four cases are descriptions of land purchases. For each separate case: a. Determine the cost used for recording the land acquired b. Record the journal entry on the date of the land's acquisition Case One Case Two Case Three Case Four 2. A company issues 33,600 shares of $1 par common stock with a fair value of $6 per share (based upon a recent sale of 10 shares) for land. The land is recently appraised at $192,000 by independent and competent appraisers. a. Determine the cost used for recording the land acquired. Cost of land $ x b. Record the journal entry on the date of the land's acquisition. Note: Record your credit accounts in alphabetical order using the first letter of the account name. Account Name Land Common Stock 0 Cash x Dr. Cr. X