Question: What dollar amount for this building is reported on your financial statements? The dollar amount for the building to be reported on your financial statements:

What dollar amount for this building is reported on your financial statements? The dollar amount for the building to be reported on your financial statements:

Suppose you are considering purchasing a building. The seller is asking $260,000 for a building that cost her $130,000. An appraisal shows the building has a value of $240,000. You first offered $215,000. The seller's counter is with $255,000. Finally, you and the seller agree on a price of $245,000. What dollar amount for this building is reported on your financial statements? Which accounting assumption or principle guides your answer?

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