Question

Coronado Company purchased land for $80,000. The company also paid $12,000 in accrued taxes on the property, incurred $5,000 to remove an old building, and received $2,000 from the salvage of the old building. At what amount will the land be recorded in the accounting records

Answer 1

Answer:

Amount recorded will be $95000

Explanation:

We have given that company purchased a land for $80000

Accrued taxes on the property = $12000

Incurred $5000 to remove an old building

And salvage value = $2000

We have to fond the amount for the land recorded in the accounting record

So the amount will be = $80000+$12000+$5000 -$2000 ( salvage value ) = $95000

So amount recorded will be $95000