Reference no: EM132902395
Oriole Company purchased real estate for $1,200,000, which included $4,200 in legal fees. It paid $240,000 cash and incurred a mortgage payable for the balance. The real estate included land that was appraised at $475,300, a building appraised at $733,320, and fences and other land improvements appraised at $149,380. The building has an estimated useful life of 60 years and a $51,000 residual value. Land improvements have an estimated 15-year useful life and no residual value
Problem a) Calculate the cost that should be allocated to each asset purchased. (Round percentage of total to 2 decimal places, e.g. 52.65% and final answers to 0 decimal places, e.g. 5,275.)
Problem b) Record the purchase of the real estate. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g. 5,275.)
Problem c) Calculate the annual depreciation expense for the building and land improvements assuming Oriole Company uses straight-line depreciation. (Round answers to 0 decimal places, e.g. 5,275.)
|
What is the measure of a stock systematic risk
: What is the measure of a stock's systematic risk? Calculate the betas of equities of two companies. Explain the difference. Beta of Assets = 1.2
|
|
Describe about the business plan
: Describe about the business plan? How can i make my business profitable?
|
|
How much will you have to pay the bank
: Suppose you borrow $100,000 from the bank at 3% interest rate (r=0.03). How much will you have to pay the bank
|
|
What is the cost of the equipment
: What is the cost of the equipment? Wildhorse Company incurs the following costs in purchasing equipment: invoice price, $40,900; shipping, $925.
|
|
Calculate the cost that should be allocated to each asset
: Calculate the cost that should be allocated to each asset purchased. (Round percentage of total to 2 decimal places, e.g. 52.65%)
|
|
What the three major categories of life insurance are term
: Which do you feel would be the best choice for your life insurance needs. Explain why, providing references to support your position.
|
|
Prepare sandhill company journal entry to record the sale
: Sandhill Company owns equipment, Prepare Sandhill Company's journal entry to record the sale of the equipment for $35,600on January 2, 2024.
|
|
Discuss the difference between book values and market values
: Discuss the difference between book values and market values on the statement of financial position and explain which is more important to the financial
|
|
What amount of vacation liability would be reflected
: A company gives each of its 80 employees. What amount of vacation liability would be reflected on the 2020 and 2021 balance sheets, respectively?
|