apter 7 Homework (Algo) 1 Problem 7-1B Determine the acquisition cost of land and building (L07-1) The Italian Pizza Company purchased land as a factory site for $88,000. Prior to construction of the new building, the land had to be cleared of trees and brush. Construction costs incurred during the first year are listed below eBook Land clearing costs Sale of firewood to a worker Architect fees (for new building) Title investigation of land Property taxes on land (for the first year) Building construction costs 54,800 (420) 28,000 3,300 2,800 380,000 Print forences Required: Determine the amounts that the company should record in the land and the new building accounts. (Amounts to be deducted should be indicated by a minus sign.) Land Building Totals ter 7 Homework (Algo) Seved 2 Northern Equipment Corporation purchased all the outstanding common stock of Pioneer Equipment Rental for $5,410,000 in cash. The book values and fair values of Pioneer's assets and liabilities were: Book Value Fair Value Accounts Receivable $ 560,000 $.468,000 Buildings 3,910, see 4,610,000 Equipment 110,000 200,000 Accounts Payable (940,000) (940, eee) Net assets 53,640,000 $4,330,000 Book Required: 1. Calculate the amount Northern Equipment should report for goodwill, Print Good Berences 2. Record Northern Equipment's acquisition of Pioneer Equipment Rental (if no entry is required for a transaction/event, select "No Journal entry required in the first account field.) View transaction list Journal entry worksheet Record the acquisition of Pioneer Equipment Rental Prey FEE Next