Question: A company purchases a 8 , 8 2 0 - square - foot building for $ 3 3 5 , 0 0 0 . The
A company purchases a squarefoot building for $ The building has two separate rental units. Unit A which has the desirable location on the corner and contains square feet, will be rented for $ per square foot. Unit B contains square feet and will be rented for $ per square foot.
How much of the joint cost should be allocated to Unit A and to Unit B using the value basis of allocation?A company purchases a squarefoot building for $ The building has two separate rental units. Unit which has the desirable location on the corner and contains square feet, will be rented for $ per square foot. Unit B contains square feet and will be rented for $ per square foot.
How much of the joint cost should be allocated to Unit A and to Unit B using the value basis of allocation?
tableRental value,Percent of rental value,Joint Cost,tableAllocatedcostNumerator,Denominator, of Mkt ValueUnit AUnit BTotals
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