Prior to Purchasing a Tract of Land,Fast-Forward Had the Land

question 150

Short Answer

Prior to purchasing a tract of land,Fast-Forward had the land appraised at $300,000.The management of Fast-Forward purchased the land for $275,000.At what amount should the land be recorded on Fast-Forward's books? What accounting principle supports your answer?

---

Definitions:

Contemporary Psychology

The modern, ongoing study of the mind and behavior, incorporating the latest research and techniques.

Mental Processes

Internal cognitive operations that include thinking, perceiving, remembering, and making decisions.

Behavior

The actions or reactions of an object or organism, usually in relation to the environment.

Nature-nurture

A debate in psychology focused on the relative contributions of genetic inheritance and environmental factors to human development.