Merchant Company Purchased Property for a Building Site

question 39

Multiple Choice

Merchant Company purchased property for a building site.The costs associated with the property were: What portion of these costs should be allocated to the cost of the land and what portion should be allocated to the cost of the new building?

• A)$187,700 to Land; $19,000 to Building.
• B)$200,700 to Land; $6,000 to Building.
• C)$200,000 to Land; $6,700 to Building.
• D)$185,000 to Land; $21,700 to Building.
• E)$206,700 to Land; $0 to Building.

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Definitions:

Beta Adrenergic Receptors

Cell surface receptors that are sensitive to epinephrine and norepinephrine and are involved in the fight-or-flight response, affecting heart rate, muscle strength, blood pressure, and metabolism.

Muscle Contraction

The process where muscle fibers shorten or tighten, leading to movement or stabilization of body parts.

Intestinal Muscle

Smooth muscle found in the intestines, responsible for the movement of food along the digestive tract through peristalsis.

Autonomic Nervous System

The part of the nervous system that controls involuntary actions of the smooth muscles, heart, and glands.