E10-1B (Acquisition Costs of Realty) The following expenditures and receipts are related to land, land improvements, and buildings acquired for use in a business enterprise. The receipts are enclosed in parentheses.
(a) Money borrowed to pay building contractor (signed a note) $(357,500)
(b) Payment for construction from note proceeds 357,500
(c) Cost of land fill and clearing 10,400
(d) Delinquent real estate taxes on property assumed by purchaser 9,100
(e) Premium on 6-month insurance policy during construction 7,800
(f) Refund of 1-month insurance premium because construction completed early (1,300)
(g) Architect’s fee on building 28,600
(h) Cost of real estate purchased as a plant site (land $200,000 and building $50,000) 325,000
(i) Commission fee paid to real estate agency 11,700
(j) Installation of fences around property 5,200
(k) Cost of razing and removing building 14,300
(l) Proceeds from salvage of demolished building (6,500)
(m) Interest paid during construction on money borrowed for construction 16,900
(n) Cost of parking lots and driveways 24,700
(o) Cost of trees and shrubbery planted (permanent in nature) 18,200
(p) Excavation costs for new building 3,900
Identify each item by letter and list the items in columnar form, using the headings shown below. All receipt
amounts should be reported in parentheses. For any amounts entered in the Other Accounts column, also indicate the account title.
Item Land Land Improvements Building Accounts
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.Read more
Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.Read more
Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.Read more
Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.Read more
By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.Read more