ACCT 504 help A Guide to career/uophelp.com ACCT 504 help A Guide to career/uophelp.com | Page 68

This Tutorial contains Excel Files which can be used to solve for any
values (your Question may have different company name or values,
but that can be solved using Excel file)
E 7-15A
Potvin Self Storage purchased land, paying $175,000 cash as a down
payment and signing a $185,000 note payable for the balance. Potvin
also had to pay delinquent property tax of $5,500, title insurance costing
$3,000, and $2,000 to level the land and remove an unwanted building.
The company paid
$55,000 to add soil for the foundation and then constructed an office
building at a cost of
$1100,000. It also paid $47,000 for a fence around the property, $16,000
for the company sign near the property entrance, and $10,000 for
lighting of the grounds. Requirement
1. What is the capitalized cost of each of Potvin's land, land
improvements, and building?
2. cost of land improvement
3. Cost of building
E 7-19A
Tasteful's Pizza bought a used Toyota delivery van on January 2, 2014,
for $18,000. The van was expected to remain in service for four years
left parenthesis (41,750 miles). At the end of its useful life, Tasteful's
officials estimated that the van's residual value would be $1,300. The
van traveled
13,000 miles the first year, 11,250 miles the second year, 10,250 miles
the third year, and 7,250 miles in the fourth year.
Requirements