When a company purchases several assets for a single lump sum, what principle does it use for

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When a company purchases several assets for a single lump sum, what principle does it use for cost apportionment? Why is it necessary to apportion the cost?

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Intermediate Accounting

ISBN: 978-0324300987

10th Edition

Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones

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Question Posted: Mar 10, 2012 06:18 AM

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When a company purchases several assets for a single lump sum, what principle does it use for

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In a lumpsum purchase the company allocates the total purc...View the full answer

Intermediate Accounting

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