ACCT 301

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ACCT 301 Connect Homework Chapter 10 answers complete solutions Just put your values given in Excel and automatically provide answers for you! Save you a lot of time and get you an A+ easily ... Question 1 Fullerton Waste Management purchased land and a warehouse for $730,000. In addition to the purchase price, Fullerton made the following expenditures related to the acquisition: broker’s commission, $43,000; title insurance, $9,500; miscellaneous closing costs, $12,500. The warehouse was immediately demolished at a cost of $31,000 in anticipation of the building of a new warehouse. Determine the amounts Fullerton should capitalize as the cost of the land and the building. Question 2 A company constructs a building for its own use. Construction began on January 1 and ended on December 30. The expenditures for construction were as follows: January 1, $560,000; March 31, $660,000; June 30, $460,000; October 30, $780,000. To help finance construction, the company arranged a 9% construction loan on January 1 for $820,000. The company’s other borrowings, outstanding for the whole year, consisted of a $2 million loan and a $4 million note with interest rates of 11% and 8%, respectively. Assuming the company uses the specific interest method, calculate the amount of interest capitalized for the year. (Do not round intermediate calculations. Round your percentage answers to 2 decimal places (i.e. 0.1234 should be entered as 12.34%).) Question 3 On March 1, 2021, Beldon Corporation purchased land as a factory site for $77,000. An old building on the property was demolished, and construction began on a new building that was completed on December 15, 2021. Costs incurred during this period are listed below: Determine the amounts that Beldon should capitalize as the cost of the land and the new building. Question 4 Oaktree Company purchased new equipment and made the following expenditures: Prepare the necessary journal entries to record the above expenditures. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Question 5 Samtech Manufacturing purchased land and building for $3 million. In addition to the purchase price, Samtech made the following expenditures in connection with the purchase of the land and building: 1. Determine the initial valuation of each asset Samtech acquired in these transactions. 2. Determine the initial valuation of each asset, assuming that immediately after acquisition, Samtech demolished the building. Demolition costs were $450,000 and the salvaged materials were sold for $7,500. In addition, Samtech spent $99,000 clearing and grading the land in preparation for the construction of a new building. Question 6 On March 31, 2021, Wolfson Corporation acquired all of the outstanding common stock of Barney Corporation for $17,900,000 in cash. The book values and fair values of Barney’s assets and liabilities were as follows: Question 7 Cedric Company recently traded in an older model of equipment for a new model. The old model’s book value was $243,000 (original cost of $533,000 less $290,000 in accumulated depreciation) and its fair value was $270,000. Cedric paid $67,000 to complete the exchange which has commercial substance. Prepare the journal entry to record the exchange. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Download it for more questions and answers! [Show More]

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