In 1999, the Denim Company bought land that cost $15,000. In 2010, a similar piece of land was bought for $28,000 and the company's existing land was estimated to be worth $18,000. On the balance sheet at the end of
2010, the land that was purchased in 1999 would be reported at:

Question

Quizplus · Accepted Answer

Land is reported on the balance sheet at its historical cost, which is the original purchase price of $15,000 in this case.

In 1999, the Denim Company Bought Land That Cost $15,000