Laramie Corporation Has Acquired a Property That Included Both Land

question 135

Multiple Choice

Laramie Corporation has acquired a property that included both land and a building for $560,000. The corporation hired an appraiser who has determined that the market value of the land is $370,000 and that of the building is $440,000. At what amount should the corporation record the cost of the building? (Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar.)

• A) $237,600
• B) $302,400
• C) $280,000
• D) $386,400

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Definitions:

Representative

Serving as a typical example of a group or category of things; in statistics, it refers to a sample that accurately reflects the characteristics of the larger population.

Correlation

A statistical measure that indicates the extent to which two or more variables fluctuate together.

Statistical Index

A measure, often numerical, that indicates the relative position or level of a variable within a statistical distribution or dataset.

Two Factors

A psychological theory suggesting that emotion is based on two factors: physiological arousal and cognitive label.