Farah Corporation purchased land adjacent to its plant to improve access for trucks making deliveries. Expenditures incurred in purchasing the land were as follows: purchase price, $75,000; broker's fees, $6,000; title search and other legal fees, $4,000; demolition of an old building on the property, $5,700; accumulated property taxes, $1,200; digging foundation for the road, $6,000; laying and paving driveway, $25,000; lighting $7,500; signs, $1,500. Required: Calculate the cost of the Land??

Farah Corporation purchased land adjacent to its plant to improve access for trucks making deliveries. Expenditures incurred in purchasing the land were as follows: purchase price, $75,000; broker's fees, $6,000; title search and other legal fees, $4,000; demolition of an old building on the property, $5,700; accumulated property taxes, $1,200; digging foundation for the road, $6,000; laying and paving driveway, $25,000; lighting $7,500; signs, $1,500. Required: Calculate the cost of the Land??

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter9: Acquisitions Of Property

Section: Chapter Questions

Problem 42P

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