A Company Paid $595,000 for Property That Included Land Appraised $\quad$

question 24

Essay

A company paid $595,000 for property that included land appraised at $384,000; land improvements appraised at $128,000; and a building appraised at $288,000.The plan is to use the building as a manufacturing plant.Determine the amounts that should be recorded as:
a) Land $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\$$$\underline{\quad\quad\quad\quad\quad\quad}$
b) Land Improvements $\quad$$\$$$\underline{\quad\quad\quad\quad\quad\quad}$
c) Building $\quad$$\quad$$\quad$$\quad$$\quad$$\$$$\underline{\quad\quad\quad\quad\quad\quad}$

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Definitions:

Exports

Products or services originating from one country and sold to buyers located in a different country.

Imports

Goods and services bought by a country from other countries. Imports can include a wide range of items, from raw materials to finished goods.

Producer Surplus

Producer surplus is the difference between the amount that a producer is paid for a good and the minimum amount they would be willing to accept for that good, essentially representing the profit made by the producer.

Trade

The exchange of goods, services, or both between two or more parties, either within a country or internationally.