Gagner Clinic purchases land for $130,000 cash. The clinic assumes $1,500 in property taxes due on the land. The
title and attorney fees totaled $1,000. The clinic has the land graded for $2,200. What amount does Gagner Clinic
record as the cost for the land?
Multiple Choice, Question 65
Hull Company acquires land for $86,000 cash. Additional costs are as follows:
Removal of shed
Filling and grading
Salvage value of lumber of shed
Paving of parking lot
Hull will record the acquisition cost of the land as
Engler Company purchases a new delivery truck for $45,000. The sales taxes are $3,000. The logo of the company is
painted on the side of the truck for $1,200. The truck license is $120. The truck undergoes safety testing for $220.
What does Engler record as the cost of the new truck?