Lump-sum purchase of assets Deadwood Properties bought three lots in a subdivision for a lump-sum price. An independent appraiser valued the lots as follows: 11eb8258_9546_099d_bb02_b9419096a6e2_SM1625_00 Deadwood paid $210,000 in cash. Requirement 1. Record the purchase in the journal, identifying each lot's cost in a separate Land account. Round decimals to two places, and use your computed percentages throughout.

Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver

Edition 3ISBN: 978-0132962339

Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver

Edition 3ISBN: 978-0132962339

Exercise 18

Lump-sum purchase of assets
Deadwood Properties bought three lots in a subdivision for a lump-sum price. An independent appraiser valued the lots as follows:

Deadwood paid $210,000 in cash.
Requirement
1. Record the purchase in the journal, identifying each lot's cost in a separate Land account. Round decimals to two places, and use your computed percentages throughout.

Explanation

Verified

This exercise requires application of th...