Summer Semester 9038W1 5 July - 11 July 00 College of Business Administration Department of Accounting...

 

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Summer Semester 9038W1 5 July - 11 July 00 College of Business Administration Department of Accounting La Bianco Company purchased land for a manufacturing facility for $1,000,000. The company paid $77,500 to tear down a building on the land and Salvaged brick and steel were sold for $10,500. Legal fees of $6,500 were paid for title investigation and making the purchase. Architect's fees were $40,500. Title insurance costs of $4,500, insurance during construction cost $13,500. Excavation cost $12,000. The contractor was paid $1,357,000 for construction. In addition, the company construct driveway costing $120,000 The cost of the building La Bianco Company will record: Summer Semester 9038W1 5 July - 11 July 00 College of Business Administration Department of Accounting La Bianco Company purchased land for a manufacturing facility for $1,000,000. The company paid $77,500 to tear down a building on the land and Salvaged brick and steel were sold for $10,500. Legal fees of $6,500 were paid for title investigation and making the purchase. Architect's fees were $40,500. Title insurance costs of $4,500, insurance during construction cost $13,500. Excavation cost $12,000. The contractor was paid $1,357,000 for construction. In addition, the company construct driveway costing $120,000 The cost of the building La Bianco Company will record: