Hamm Inc. purchased land, a building, and equipment from Spamela Corporation for a cash payment of $306,000. The assets' estimated fair values are land $95,000, building $250,000, and equipment $1,000,000. At what amounts should each of the three assets be recorded?
Answer to relevant QuestionsWizard Corp., a private company, obtained land by issuing 2,000 of its no par value common shares. The land was appraised at $85,000 by a reliable, independent valuator on the date of acquisition. Last year, Wizard sold ...Information for Craig Ltd. follows: 1. On July 6, Craig acquired the plant assets of Des bury Company, which had discontinued operations. The property was appraised by a reliable, independent valuator on the date of ...Lightstone Equipment Ltd. wanted to expand into New Brunswick and was impressed by the provincial government's grant program for new industry. After being sure that it would qualify for the grant program, it purchased ...The following are transactions related to Producers Limited: 1. The City of Piedmont gives the company five hectares of land as a plant site. This land~ fair value is determined to be $92,000. 2. Producers issues 13,000 no ...Cameo Manufacturers Inc., a publicly listed company, has two machines that are accounted for under the revaluation model. Technology in Cameo's industry is fast-changing, causing the fair value of each machine to change ...
Post your question