Match each Line number to the appropriate asset or expense account Stanley Corp.
ID: 2329908 • Letter: M
Question
Match each Line number to the appropriate asset or expense account Stanley Corp. incurred the following costs to accquire land, make land improvements, constructa Warehouse and purchase equipment to start operating its sporting goods business. Cost of land 300,000 15,000 35,000 2,500 975,000 Attorney's fee, land acquisition Architect's fee, building design Accrued Taxes on Land Construction cost of Building Annual Salary of staff who supervised the construction of the building for six months 80,000 Interest charges on loan for building paid during construction 5,500 Closing costs on purchase of land (Title Insurance Title search) Construction of Parking lot and sidewalk Interest paid after completion of building construction Cost of Electrical wiring, building Cost of Landscaping Installation cost of sprinkler system Cost of surveying land Purchase of Plant Equipment 22,000 55,000 15,675 60,000 25,000 6,500 5,600 8 10 12 13 15 150,000 Delivery and freight charges, Plant Equipment 5,500 8,000 6,000 9,000 (6,000) 15,555 75,000 6,000 2,000 1,200 2,500 7,500 17 Installation cost of Plant Equipment Testing and Training costs (Prior to use of Plant Equipmment) Cost of grading the land Proceeds from sale of Scrap Materials on the 20 21 Cost of Partitioning of warehouse Purchase of Delivery truck Delivery and freight charges Truck Freight Insurance Truck Motor Vehicle registration and licensing fees - 23 24 25 26 27 Truck surance one year for Truck Cost of Painting and Lettering of Delivery Truck Total account balance 1,885,030Explanation / Answer
The acquisition cost for the building is: Option D. $1,131,055
The acquisition cost for land is: Option C. $348100
The amount for expenses is: Option C. $18,175
The acquisition cost for the plant equipment is: Option A. $169,500
Line A. B. C. D. E. F. Land Delivery Truck Plant Equipment Expense Building Land Improvement 1 300000 2 15000 3 35000 4 2500 5 975000 6 40000 7 5500 8 22000 9 55000 10 15675 11 60000 12 25000 13 6500 14 5600 15 150000 16 5500 17 8000 18 6000 19 9000 20 -6000 21 15555 22 75000 23 6000 24 2000 25 1200 26 2500 27 7500 28 29 348100 91700 169500 18175 1131055 86500