Which of the following items should be included in the value of the land Tax and...

Which of the following items should be included in the value of the land

		Tax and title costs
		All of these items should be included in the value of the land
		Clearing of the land for use
		Cash price of the land

Solutions

Expert Solution

The answer is

All of these items should be included in the value of the land

All costs which are necessary to bring the fixed costs to its intended use should be capitalized

Since price of land, tax and title costs and clearing are all necessary for making the land suitable for intebnded use, they shall all be capitalized

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Which of the following items are included on the balance sheet?

the balance sheet is a snapshot of the entity. Which of the following items are included on the balance sheet?A.assetsB.RevemuesC.expensesD.withdrawls

1. How should the following items be dealt with in CBA: land capital items such as...

1. How should the following items be dealt with in CBA: land capital items such as plant and equipment financing expenses associated with the project depreciation of plant and equipment allowances for bad debts working capital salvage value external benefits and costs 2. Which methods are used to compare projects at different time frames? 3. What are the strengths and weaknesses of each of the criteria (NPVs, benefit/cost ratio, internal rates of return, net terminal values) that use discounted net...

1) Which of the following is included in the cost of land? A) The cost of...

1) Which of the following is included in the cost of land? A) The cost of fencing B) The cost of paving C) The cost of clearing the land D) The cost of outdoor lighting 2) Which of the following is included in the cost of a plant asset? A) Amounts paid to ready the asset for its intended use B) Regular maintenance cost C) Normal repair cost D) Wages of workers who use the asset 3) A company purchased...

XY Corporation’s statement of financial position at the end of 2016 included the following items. Land...

XY Corporation’s statement of financial position at the end of 2016 included the following items. Land $ 30,000 Buildings 120,000 Equipment 90,000 Accum. depr.—buildings (30,000) Accum. depr.—equipment (11,000) Patents 40,000 Current assets 235,000 Total $474,000 Current liabilities 150,000 Bonds payable $100,000 Share capital—ordinary 180,000 Retained earnings 44,000 Total $474,000 The following information is available for 2017. 1. Net income was $55,000. 2. Equipment (cost $20,000 and accumulated depreciation $8,000) was sold for $9,000. 3. Depreciation expense was $4,000 on the...

Which of the following is not included as one of the items that the design must determine

Which of the following is not included as one of the items that the design must determine a) The number of factors to include in the experiment b) The levels at which each factor will be tested c) The response variable d) The design repot distribution e) The conditions (settings) for each trial

Which of the following is least likely to be included in the tax constraint for an...

Which of the following is least likely to be included in the tax constraint for an individual investor? a. The federal withholding tax from the individual's employment income. b. The tax liability from a taxable lump sum received as part of an employment contract. c. Property taxes to be paid during the upcoming year from ownership of a beach house. d. Capital gains taxes owed on the sale of a watch worn by Benjamin Franklin.

Which of the following cannot be included in a prenuptial agreement? A. Whether particular items are...

Which of the following cannot be included in a prenuptial agreement? A. Whether particular items are considered community property or separate property B. Ownership of the marital residence C. Responsibility for premarital debts D. Child support agreements

1. Which of the following would not be included in the Land account? A.back property taxes...

1. Which of the following would not be included in the Land account? A.back property taxes paid B.brokerage commissions connected with the purchase of the land C.paving costs for a driveway D.survey fees connected with the purchase of the land 2.Which of the following expenses is most closely associated with tangible longminus−lived assets? A.depletion B.interest C.accumulation D.depreciation 3.Which of the following statements is true? A.Depreciation means that a business sets aside cash to replace assets as they become fully amortized....

Which of the following items would not be included as a cash flow from operating activities...

Which of the following items would not be included as a cash flow from operating activities in a statement of cash flows? Multiple Choice Collections from customers. Interest on note payable. Purchase of equipment. Purchase of inventory.

Which of the following should be included in the analysis of a project? (mark all that...

Which of the following should be included in the analysis of a project? (mark all that apply) Finance cost. opportunity cost. sunk costs. erosion costs.

Subjects