How much should the corporation record as the cost of land

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Reference no: EM132982318

Problem 1: Twilight Corporation paid for land having a current market value of P240,000. It had a book value of P130,500 in the seller's accounts. Twilight Corp. issued 20,000 shares of its common stock, par value P10, with an estimated market value of P14 per share in return for the land. Twilight Corp. stock is not traded on a well-known/established stock exchange. How much should the corporation record as the cost of land?

a) P130,500

b) P200,000

c) P240,000

d) P280,000

Reference no: EM132982318

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