Paris Company buys a building on a plot of land for $100,000, paying $20,000 cash and signing a 20-year mortgage note for $80,000 at 6%. An appraisal shows the value of the building to be $70,000 and the value of the land to be $30,000. Please provide the journal entry for the purchase.

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The Answer of Paris Company buys a building on a plot of land for $100,000, paying $20,000 cash and signing a 20-year mortgage note for $80,000 at 6%. An appraisal shows the value of the building to be $70,000 and the value of the land to be $30,000. Please provide the journal entry for the purchase.

Paris Company Buys a Building on a Plot of Land