1. Discount Banners pays $160,000 cash for a group purchase of land, building and equipment. At...
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1. Discount Banners pays $160,000 cash for a group purchase of land, building and equipment. At the time of acquisition, the land has a market value of $20,000, the building $170,000, and the equipment $10,000 Journalize the lump-sum purchase First, refer to the information provided and calculate the ratio of each asset's market value to the total for all assets combined. Then, complete the table and calculate the assigned cost for each asset Asset Land Building Equipment Total Percentage Market Value of Total Value % 96 N M N .. Total Purchase Price Assigned Cost of Each Asset 1. Discount Banners pays $160,000 cash for a group purchase of land, building and equipment. At the time of acquisition, the land has a market value of $20,000, the building $170,000, and the equipment $10,000 Journalize the lump-sum purchase First, refer to the information provided and calculate the ratio of each asset's market value to the total for all assets combined. Then, complete the table and calculate the assigned cost for each asset Asset Land Building Equipment Total Percentage Market Value of Total Value % 96 N M N .. Total Purchase Price Assigned Cost of Each Asset
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Table qua Percent of Asset Market value Market value Land 20000 10 1700... View the full answer
Related Book For
Financial accounting
ISBN: 978-0136108863
8th Edition
Authors: Walter T. Harrison, Charles T. Horngren, William Bill Thomas
Posted Date:
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