Try another version of this question Flip-It Quick Properties bough three lots in a subdivision for a lump-sum price. An independent appraiser valued the lots as follows: Flip-It Quick Properties paid $445,000 in cash. Record the purchase in the journal, identifying each lot's cost in a separate Land account. Note: When inputting a percentage value, do not include the % symbol, and round your answer to two decimal places (e.g., 50.35). Use the rounded values for calculations throughout the assessment.
Lot
Appraised Value
1
$45,000
2
298,000
3
114,500
Asset Market Value Percentage of Total Value X Total Purchase Price = Assigned Cost of Each Asset Lot 1 / = X = Lot 2 / = X = Lot 3 / = X = Total Date Description Debit Credit Asset Market Value Percentage of Total Value X Total Purchase Price = Assigned Cost of Each Asset Lot 1 45000 45000 / 457500 = 9.84 X 445000 = 43788 Lot 2 298000 298000 / 457500 = 65.14 X 445000 = 289873 Lot 3 114500 114500 / 457500 = 25.03 X 445000 = 111383.5 Total 457500 445044.5 Date Description Debit Credit Lot 1 43,788.00 Lot 2 289,873.00 Lot 3 111,383.50 Cash 445,044.50