Tillman Is Building a Warehouse for Use in His Business

question 61

Multiple Choice

Tillman is building a warehouse for use in his business.The construction costs include the following:
$$\begin{array} { l r } \text { Direct labor } & \$ 35,000 \\\text { Direct materials } & 20,000 \\\text { Architect fees } & 5,000 \\\text { Interest on construction loan } & 3,000 \\\text { Depreciation of equipment used in construction } & 1,500 \\\text { Indirect Administrative costs during construction } & 2,000\end{array}$$
What is Tillman's basis in the warehouse?

• A)$60,000
• B)$61,500
• C)$63,500
• D)$64,500
• E)$66,500

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Definitions:

Moral Holiday

A specified time period during which some norm violations are allowed.

Negative Sanctions

Penalties or punishments imposed on individuals or groups to discourage nonconformity to societal norms or laws, ranging from informal disapproval to formal legal penalties.

Gesturing

The use of physical movements and signs, often made with the hands or body, to convey messages or express thoughts without using words.

Mores

Norms that carry great moral significance, are closely related to the core values of a cultural group, and often involve severe repercussions for violators.