Author Question: If a building is appraised for 85,000, offered for sale at 90,000, and the buyer pays 80,000 cash ... (Read 43 times)

fagboi

  • Hero Member
  • *****
  • Posts: 535
If a building is appraised for 85,000, offered for sale at 90,000, and the buyer pays 80,000 cash for it, the buyerwould record the building at 85,000.
 a. True
  b. False
 
   Indicate whether the statement is true or false

Question 2

A Motor Pool Internal Service Fund purchased ten new vehicles for their fleet inventory. The fund entered into a capital lease. The capitalizable cost totaled 300,000 and there was a 50,000 down payment.
 
  The entry to record the transaction in the Internal Service Fund would be
 
   dr cr
 
  a. Vehicles 300,000 Expenditures 50,000 Other Financing Source  Capital Lease 300,000 Cash 50,000
  b. Expenditures 300,000 Other Financing Source  Capital Lease 250,000 Cash 50,000
  c. Vehicles 300,000 Other Financing Sources  Capital Lease 250,000 Cash 50,000
  d. Vehicles 300,000
   Capital Lease Payable 250,000
   Cash 50,000
  e. Vehicles 250,000
   Expenditures 50,000
   Capital Lease Payable 250,000
   Cash 50,000



katieost

  • Sr. Member
  • ****
  • Posts: 358
Answer to Question 1

False

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Ether was used widely for surgeries but became less popular because of its flammability and its tendency to cause vomiting. In England, it was quickly replaced by chloroform, but this agent caused many deaths and lost popularity.

Did you know?

A strange skin disease referred to as Morgellons has occurred in the southern United States and in California. Symptoms include slowly healing sores, joint pain, persistent fatigue, and a sensation of things crawling through the skin. Another symptom is strange-looking, threadlike extrusions coming out of the skin.

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

For a complete list of videos, visit our video library