ACC 545 Week 3 Individual Assignment

. On July 6, Jamona Corp. acquired the plant assets of Berry Company, which had discontinued operations. The appraised value of the property is: Land $ 400,000 Building 1,200,000 Machinery and equipment 800,000 Total $2,400,000 Jamona Corp. gave 12,500 shares of its $100 par value common stock in exchange. The stock had a market value of $168 per share on the date of the purchase of the property. Jamona Corp. expended the following amounts in cash between July 6 and December 15, the date when it first occupied the building. Repairs to building $105,000 Construction of bases for machinery to be installed later 135,000 Driveways and parking lots 122,000 Remodeling of office space in building 161,000 Special assessment by city on land 18,000 On December 20, the company paid cash for machinery, $260,000, subject to a 2% cash discount, and freight on machinery of $10,500.
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