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Unformatted text preview: One possible alternative for quantifying the cost of the land may be to use the appraised value of the land. Another possible alternative may be to use the cost of the treasury stock. According to the text "when issuing stock for services or property other than cash, the company should record the property or services at either the fair market value of the stock issued, or the fair market value of the noncash consideration received, whichever is more clearly determinable" (Keyso, Weygandt, & Warfield, 2007, p. 753). I think that the trading price of the stock is a better measurement because it is a market value rather than an appraisal....
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This note was uploaded on 02/22/2012 for the course ACC 101 taught by Professor Black during the Spring '12 term at University of Phoenix.
- Spring '12