Timberly Construction negotiates a lump-sum purchase of several assets from a co

Question

Timberly Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1, 2015, at a total cash price of $820,000 for a building, land land improvements, and four vehicles. The estimated market values of the assets are building, $497,250; land 5302,250; land improvements, 539,000; and four vehicles, $136,500. The company's fiscal year ends on 1.1 Prepare a table to allocate the lump-sum purchase price to the separate assets purchased Allocation of total cost Appraised Value Total Appraised Value Total cost of Acquisition Cost Building Land Vehicles Total 0% 1.2 Prepare the journal entry to record the purchase. view transaction list view genera l j Journal Entry Worksheet Record the costs of lump-sum purchase Date General Journal Debit Credit Jan 01 Enter debits before credits r entry

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Timberly Construction negotiates a lump-sum purchase of several assets from a co

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