The net book value of buildings increased by $170,000 during the year.No buildings were sold during the year, and depreciation expense for the year was $55,000.How much cash was paid to purchase buildings during the year?

Question

Quizplus · Accepted Answer

The increase in net book value of $170,000 plus the depreciation expense of $55,000 indicates that $225,000 was spent on purchasing buildings.

The Net Book Value of Buildings Increased by $170,000 During