Markanich Company purchased land for $90,000 in 2010. In 2013, the land is valued at $115,000. The land would appear on the company's books in 2013 at

Question

Quizplus · Accepted Answer

According to the historical cost principle in accounting, assets are recorded at their original purchase price, not their current market value. Therefore, the land would still be recorded at $90,000.

Markanich Company Purchased Land for $90,000 in 2010