When land with an old building is acquired with the building razed

		part of the purchase price needs to be assigned to the building
		costs of razing the building should be added to the land account
		costs of razing the building should be expensed
		proceeds from selling parts of the building razed should be added to revenue

Taft Company sells Lee Company a machine, the usual cash price of which is $10,000, in exchange for an $11,800 non-interest-bearing note due three years from date. If Taft records the note at $11,800, the overall effect will be

		A correct sales price and correct interest revenue
		A correct sales price and understated interest revenue
		An understated sales price and understated interest revenue
		An overstated sales price and understated interest revenue