On December 31, 20X7, Mr. and Mrs. McManus owned a parcel of land held as an investment.

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On December 31, 20X7, Mr. and Mrs. McManus owned a parcel of land held as an investment. They had purchased it for $95,000 in 20X0, and the mortgage on it had a principal balance of $60,000 at December 31, 20X7. On this date, the land’s fair value was $150,000. In the McManuses’ December 31, 20X7, personal statement of financial condition, at what amount should the land investment and mortgage payable be reported?

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Advanced Financial Accounting

ISBN: 9781260165111

12th Edition

Authors: Theodore Christensen, David Cottrell, Cassy Budd

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