Robin Company acquires a piece of land on which it intends to build a factory to...
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Robin Company acquires a piece of land on which it intends to build a factory to produce its primary product. The land is listed for sale at $460,000, but Robin Company's real estate broker is able to negotiate a sales price of $430,000. The land contains an old office building that is razed at a cost of $25,000 ($29,000 in costs less $4,000 proceeds from salvaged materials). Robin Company pays a commission to the real estate broker of $23,000 and an attorney's fee of $6,000. On its statement of financial position at December 31, 2020, what amount will Robin Company record as the cost of the land? Robin Company acquires a piece of land on which it intends to build a factory to produce its primary product. The land is listed for sale at $460,000, but Robin Company's real estate broker is able to negotiate a sales price of $430,000. The land contains an old office building that is razed at a cost of $25,000 ($29,000 in costs less $4,000 proceeds from salvaged materials). Robin Company pays a commission to the real estate broker of $23,000 and an attorney's fee of $6,000. On its statement of financial position at December 31, 2020, what amount will Robin Company record as the cost of the land?
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Essentials of Statistics for Business and Economics
ISBN: 978-1305081598
7th edition
Authors: David Anderson, Thomas Williams, Dennis Sweeney, Jeffrey Cam
Posted Date:
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