If a building is appraised for 85,000, offered for sale at ...

[fagboi]

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]

Answer to Question 1

False

Answer to Question 2

C