10. A corporation issued debt to purchase 10 acres of land fordevelopment purposes. Expenditures related to this purchase are asfollows: Description Amount Purchase price $1,000,000 Real estatetaxes in arrears 15,000 Debt issuance costs 2,000 Attorney fee --title search on land 5,000 The company should record itsacquisition of the land in its financial statements at a value ofa. $1,000,000 b. $1,015,000 c. $1,020,000 2.According to IFRS,which accounting policy may an entity apply to measure investmentproperty in periods subsequent to initial recognition? a. Costmodel or revaluation model. b. Cost model or fair value model. c.Fair value model only. d. Fair value model or revaluationmodel.
11.
Beck Co.âs inventory is as follows:
Beginning inventory
10 trees at
$ 50
March 4
purchased
6 trees at
55
March 12
sold
8 trees at
100
March 20
purchased
9 trees at
60
March 27
sold
7 trees at
105
March 30
purchased
4 trees at
65
What was Beckâs cost of goods soldusing the last-in, first-out (LIFO) perpetual method?
$910
$850
$808
$775
12.
Fact pattern: During January, Metro Co., whichmaintains a perpetual inventory system, recorded the followinginformation pertaining to its inventory:
Units
Unit Cost
Total Cost
Units on Hand
Balance on 1/1
1,000
$1
$1,000
1,000
Purchased on 1/7
600
3
1,800
1,600
Sold on 1/20
900
700
Purchased on 1/25
400
5
2,000
1,100
Under the moving-average method, whatamount should Metro report as inventory at January 31?
$2,640
$3,225
$3,300
$3,900
13.
According to IFRS, which accounting policy may an entity applyto measure investment property in periods subsequent to initialrecognition?
Cost model or revaluation model.
Cost model or fair value model.
Fair value model only.
Fair value model or revaluation model
10. A corporation issued debt to purchase 10 acres of land fordevelopment purposes. Expenditures related to this purchase are asfollows: Description Amount Purchase price $1,000,000 Real estatetaxes in arrears 15,000 Debt issuance costs 2,000 Attorney fee --title search on land 5,000 The company should record itsacquisition of the land in its financial statements at a value ofa. $1,000,000 b. $1,015,000 c. $1,020,000 2.According to IFRS,which accounting policy may an entity apply to measure investmentproperty in periods subsequent to initial recognition? a. Costmodel or revaluation model. b. Cost model or fair value model. c.Fair value model only. d. Fair value model or revaluationmodel.
11.
Beck Co.âs inventory is as follows:
Beginning inventory | 10 trees at | $ 50 | |
March 4 | purchased | 6 trees at | 55 |
March 12 | sold | 8 trees at | 100 |
March 20 | purchased | 9 trees at | 60 |
March 27 | sold | 7 trees at | 105 |
March 30 | purchased | 4 trees at | 65 |
What was Beckâs cost of goods soldusing the last-in, first-out (LIFO) perpetual method?
$910
$850
$808
$775
12.
Fact pattern: During January, Metro Co., whichmaintains a perpetual inventory system, recorded the followinginformation pertaining to its inventory:
Units | Unit Cost | Total Cost | Units on Hand | |
Balance on 1/1 | 1,000 | $1 | $1,000 | 1,000 |
Purchased on 1/7 | 600 | 3 | 1,800 | 1,600 |
Sold on 1/20 | 900 | 700 | ||
Purchased on 1/25 | 400 | 5 | 2,000 | 1,100 |
Under the moving-average method, whatamount should Metro report as inventory at January 31?
$2,640
$3,225
$3,300
$3,900
13.
According to IFRS, which accounting policy may an entity applyto measure investment property in periods subsequent to initialrecognition?
Cost model or revaluation model.
Cost model or fair value model.
Fair value model only.
Fair value model or revaluation model
