Indicate whether each of the following expenditures should be classified as:
-Surveying costs
A)land (L)
B) land improvements (LI)
C) buildings (B)
D) equipment (E)
E) none of these (X)

Question

Quizplus · Accepted Answer

Surveying costs are directly associated with the acquisition of land, and therefore, should be classified as a land cost. These costs are necessary to establish boundaries and are capitalized as part of the land's cost.

Indicate Whether Each of the Following Expenditures Should Be Classified