E10-5 (Treatment of Various Costs) Allegro Supply Company, a newly formed corporation, incurred the following expenditures related to Land,...
xtina091785E10-5
(Treatment of Various Costs) Allegro Supply Company, a newly formed corporation, incurred the following expenditures related to Land, to Buildings, and to Machinery and Equipment.
Abstract company's fee for title search
$ 520
Architect's fees
3,170
Cash paid for land and dilapidated building thereon
92,000
Removal of old building
$20,000
Less: Salvage
5,500
14,500
Interest on short-term loans during construction
7,400
Excavation before construction for basement
19,000
Machinery purchased (subject to 2% cash discount, which was not taken)
65,000
Freight on machinery purchased
1,340
Storage charges on machinery, necessitated by noncompletion of building when machinery was delivered
2,180
New building constructed (building construction took 6 months from date of purchase of land and old building)
485,000
Assessment by city for drainage project
1,600
Hauling charges for delivery of machinery from storage to new building
620
Installation of machinery
2,000
Trees, shrubs, and other landscaping after completion of building (permanent in nature)
5,400
Instructions
Determine the amounts that should be debited to Land, to Buildings, and to Machinery and Equipment. Assume the benefits of capitalizing interest during construction exceed the cost of implementation. Indicate how any costs not debited to these accounts should be recorded.
- 12 years ago
- 999999.99
Answer(1)
Purchase the answer to view it
NOT RATED
- e10-5.doc
Bids(0)
other Questions(10)
- six 5 point question and eight 2 point question you got 92% or the total
- A teacher put her students into groups of 5. Each group had 3 girls. If she has 25 students, how...
- Find the point of intersection of the lines 3=6x-y and 3x-2y=24.
- why is it important for historians and archaeologists to have and accurate knowledge of the age of the sources they...
- BestCare HMO Statement of Operations and Change in Net Assets Year Ended June 30, 2004 (in thousands) Revenue: Premiums earned $26,682 Co-insurance 1,689 Interest and other income...
- How can finding the surface area of a rectangle help
- Quick help
- the greatest net change in air temperature occured during what period ?
- in the story of a mystery of heroism what has happened to the bugler?
- Graph the points and draw a line through them. Write an equation in slope-intercept form of the line that passes...