The Oscar Corporation acquired land, buildings, and equipment from a bankrupt company at a lump-sum price of P20,000,000. At the time of acquisition, Oscar paid P240,000 to have the assets appraised. The appraisal disclosed the following values: Land.. P12,000,000 Buildings.. 8,000,000 Equipment... 4,000,000 Vhat cost should be assigned to the land account?

The Oscar Corporation acquired land, buildings, and equipment from a bankrupt company at a lump-sum price of P20,000,000. At the time of acquisition, Oscar paid P240,000 to have the assets appraised. The appraisal disclosed the following values: Land.. P12,000,000 Buildings.. 8,000,000 Equipment... 4,000,000 Vhat cost should be assigned to the land account?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter10: Property, Plant And Equipment: Acquisition And Subsequent Investments

Section: Chapter Questions

Problem 3RE: Utica Corporation paid 360,000 to purchase land and a building. An appraisal showed that the land is...

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Utica Corporation paid 360,000 to purchase land and a building. An appraisal showed that the land is worth 100,000 and the building is worth 300,000. What cost should Utica assign to the land and to the building, respectively?
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