A company purchases property that includes land, buildings and equipment for $4.6 million. The company pays $185,000 in legal fees, $212,000 in…
A company purchases property that includes land, buildings and equipment for $4.6 million. The company pays $185,000 in legal fees, $212,000 in commissions, and $107,000 in appraisal fees. The land is estimated at 26%, the buildings are at 44%, and the equipment at 30% of the property value. Prepare the journal entry that is required to record the purchase assuming that the company paid 50% […]