Round all calculations to the nearest dollar.
Assume a December 31 fiscal year end unless specifically stated otherwise.
Maldive Company completes construction of a building. The following independent items are the costs and other aspects relevant to the purchase of the lot and construction of the building:
Cash payments to contractor......................................................... $100,000
Cash payment for building permit ................................................... 3,000
Cost of land ............................................................................... 50,000
Cost to raze old building on land (gross) .......................................... 20,000
Proceeds from old building salvage ................................................. 5,000
Utility bill for electricity used during construction ................................. 2,000
Advance payments for purchase of materials for
anticipated ordinary repairs ......................................................... 1,000
Capitalized interest on construction ................................................. 3,000
Required:
DATE
Question answered on Jul 22, 2018
PRICE: $20
Solution~000400053.zip (18.37 KB)