Shaffer Company acquires land for $77,000 cash. Additional costs are as follows. $$\begin{array} { l r }
\text { Removal of shed } & \$ 300 \
\text { Filling and grading } & 1,500 \
\text { Salvage value of lumber of shed } & 120 \
\text { Broker commission } & 1,130 \
\text { Paving of parking lot } & 10,000 \
\text { Closing costs } & 560
\end{array}$$ Shaffer will record the acquisition cost of the land as
A)$77,000.
B)$78,690.
C)$80,610.
D)$80,370.

Question

Shaffer Company acquires land for $77,000 cash. Additional costs are as follows. $$\begin{array} { l r } 
\text { Removal of shed } & \$ 300 \
\text { Filling and grading } & 1,500 \
\text { Salvage value of lumber of shed } & 120 \
\text { Broker commission } & 1,130 \
\text { Paving of parking lot } & 10,000 \
\text { Closing costs } & 560
\end{array}$$ Shaffer will record the acquisition cost of the land as
A)$77,000.
B)$78,690.
C)$80,610.
D)$80,370.

Quizplus · Accepted Answer

The Answer of Shaffer Company acquires land for $77,000 cash. Additional costs are as follows. $$\begin{array} { l r } 
\text { Removal of shed } & \$ 300 \
\text { Filling and grading } & 1,500 \
\text { Salvage value of lumber of shed } & 120 \
\text { Broker commission } & 1,130 \
\text { Paving of parking lot } & 10,000 \
\text { Closing costs } & 560
\end{array}$$ Shaffer will record the acquisition cost of the land as
A)$77,000.
B)$78,690.
C)$80,610.
D)$80,370.

Shaffer Company Acquires Land for $77,000 Cash Shaffer Will Record the Acquisition Cost of the Land as as Follows