60751. Mr. XYZ, is negotiating to buy a parcel of property for his business. The seller of the property is asking P 1,700,000 for the property. The assessed value of the property for tax purposes of P 1,250,000. The property is presently insured by the owner for P 1,350,000. Mr. XYZ, originally offered the seller P 1,300,000 for the property. Mr. XYZ and the seller have agreed on a purchase price of P 1,500,000. Shortly after the purchase is made by Mr. XYZ, he is offered P 1,750,000 for the same property. At what price would Mr. XYZ record the property on the books of his business?
60751. Mr. XYZ, is negotiating to buy a parcel of property for his business. The seller of the property is asking P 1,700,000 for the property. The assessed value of the property for tax purposes of P 1,250,000. The property is presently insured by the owner for P 1,350,000. Mr. XYZ, originally offered the seller P 1,300,000 for the property. Mr. XYZ and the seller have agreed on a purchase price of P 1,500,000. Shortly after the purchase is made by Mr. XYZ, he is offered P 1,750,000 for the same property. At what price would Mr. XYZ record the property on the books of his business?
Chapter17: Property Transactions: §1231 And Recapture Provisions
Section: Chapter Questions
Problem 49P
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Transcribed Image Text:60751. Mr. XYZ, is negotiating to buy a parcel of property for his business.
The seller of the property is asking P 1,700,000 for the property. The
assessed value of the property for tax purposes of P 1,250,000. The
property is presently insured by the owner for P 1,350,000. Mr. XYZ,
originally offered the seller P 1,300,000 for the property. Mr. XYZ and the
seller have agreed on a purchase price of P 1,500,000. Shortly after the
purchase is made by Mr. XYZ, he is offered P 1,750,000 for the same
property. At what price would Mr. XYZ record the property on the books of
his business?
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