Shelton Co. purchased a parcel of land six years ago for $869,500. At that time, the firm invested $141,000 in grading the site so that it would be usable. Since the firm wasn't ready to use the site itself at that time, it decided to lease the land for $52,000 a year. The company is now considering building a warehouse on the site as the rental lease is expiring. The current value of the land is $921,000. What value should be included in the initial cost of the warehouse project for the use of this land?

Merchant Company purchased land for a building site. The costs associated with the property were: Purchase price $ 182,000Real estate commissions 15,700Legal fees 1,500Expenses of clearing the land 2,700What is the total recorded cost of the land?Multiple Choice$201,900$182,000$185,500$199,200$197,700

A company purchased land for $70,000 cash. Real estate brokers’ commission was $5,000 and $7,000 was spent for demolishing an old building on the land before construction of a new building could start. Under the historical cost principle, the cost of land would be recorded atSelect answer from the options below$82,000.$77,000.$70,000.$75,000.

A company purchased property for $100,000. The property included a building, a parking lot, and land. The building was appraised at $60,500; the land at $46,200, and the parking lot at $18,300. Land should be recorded in the accounting records with an allocated cost of:Multiple Choice$42,960.$36,960.$0.$46,200.$100,000.

Boeing builds a plane for $10 million that it normally sells for $15 million. However, on January 1, 20X0, Boeing leases this plane to Delta for $3 million per year for 7 years (the entire expected life of the plane). The present value of the future lease payments equals $17.35 million. Which of the following answers is correct?

A company purchased land for P4,500,000 cash. Real estate brokers' commission was P250,000 and P350,000 was spent for demolishing an old building on the land before construction of a new building could start. Under the cost principle, the cost of land would be recorded at