Land and a hotel building were acquired for $14,500,000. The owner paid $7,000,000 in cash and signed a note payable for the remaining amount. What would be the journal entry for that transaction if an appraisal showed the estimated values to be $4,500,000 for the land and $10,000,000 for the hotel?
Land and a hotel building were acquired for $14,500,000. The owner paid $7,000,000 in cash and signed a note payable for the remaining amount. What would be the journal entry for that transaction if an appraisal showed the estimated values to be $4,500,000 for the land and $10,000,000 for the hotel?
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter10: Property, Plant And Equipment: Acquisition And Subsequent Investments
Section: Chapter Questions
Problem 3RE: Utica Corporation paid 360,000 to purchase land and a building. An appraisal showed that the land is...
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