Question Details

[answered] Bridge City Consulting bought a building and the land on wh


Bridge City Consulting bought a building and the land on which it is located for $140,000 cash. The land is estimated to represent 70 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use.

Required:
2.

Prepare the journal entry to record all expenditures. Assume that all transactions were for cash and they occurred at the start of the year.?(If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

  • Record all expenditures for the land and buildings assuming all transactions were paid for with cash and occurred at the start of the year.
3.

Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10-year useful life and a $15,000 estimated residual value.?(Do not round intermediate calculations.)

4.

What should be the book value of (a) the land and (b) the building at the end of year 2?



Cost of Land = 140,000 x 70% = $98,000

 

Cost of Building = 140,000 - 98000 = 42000 + 10,000 = $52000

 

Journal Entry:

 

Date Account Title

 

Jan1 Land A/c

 

Building A/c

 

Cash A/c

 

(Recording of Purchase of...

 


Solution details:
STATUS
Answered
QUALITY
Approved
ANSWER RATING

This question was answered on: Sep 18, 2020

PRICE: $15

Solution~0001005783.zip (25.37 KB)

Buy this answer for only: $15

This attachment is locked

We have a ready expert answer for this paper which you can use for in-depth understanding, research editing or paraphrasing. You can buy it or order for a fresh, original and plagiarism-free copy from our tutoring website www.aceyourhomework.com (Deadline assured. Flexible pricing. TurnItIn Report provided)

Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected by .
SiteLock

About this Question

STATUS

Answered

QUALITY

Approved

DATE ANSWERED

Sep 18, 2020

EXPERT

Tutor

ANSWER RATING

GET INSTANT HELP/h4>

We have top-notch tutors who can do your essay/homework for you at a reasonable cost and then you can simply use that essay as a template to build your own arguments.

You can also use these solutions:

  • As a reference for in-depth understanding of the subject.
  • As a source of ideas / reasoning for your own research (if properly referenced)
  • For editing and paraphrasing (check your institution's definition of plagiarism and recommended paraphrase).
This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student.

NEW ASSIGNMENT HELP?

Order New Solution. Quick Turnaround

Click on the button below in order to Order for a New, Original and High-Quality Essay Solutions. New orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.

WE GUARANTEE, THAT YOUR PAPER WILL BE WRITTEN FROM SCRATCH AND WITHIN YOUR SET DEADLINE.

Order Now