Accounting for the Acquisition of Assets-Basket Purchase
Response to the following problem:
Sealise Corporation purchased land, a building, and equipment for a total cost of $450,000. After the purchase, the property was appraised. Fair market values were determined to be $120,000 for the land, $280,000 for the building, and $80,000 for the equipment. Given these appraisals, record the purchase of the property by Sealise Corporation.