A Company Purchased Land on Which to Construct a New

question 22

Essay

A company purchased land on which to construct a new building for a cost of $250,000.Additional costs incurred were:
$\begin{array}{|l|r|}\hline\text { Real estate broker's commissions } & \$ 15,000 \\\hline \text { Legal fees incurred in purchase of the real estate } & 2,500 \\\hline \text { Landscaping } & 10,000 \\\hline \text { Expenses to remove old house located on land } & 3,000 \\\hline \text { Proceeds from selling materials salvaged from old house } & 1,000\\\hline\end{array}$
What total dollar amount should be charged to land and what amount should be charged to the new building?

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Definitions:

Protect

To guard or defend something or someone from harm, damage, or potential threats.

Organizational Barriers

Hindrances within a company that prevent effective communication, decision-making, and processes.

Whistle Blowing

Involves an employee or former employee of an organization calling public attention to serious wrongdoing or danger within the organization.

Moral Quality Circles

Groups focused on identifying, discussing, and solving ethical issues in the workplace to promote integrity and moral behavior.