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The company pays $400,000 for real estate plus closing costs of $10,000. How do you prepare the journal entry to record the puchase if the company pays $40,000 in cash and borrows the rest on a mortgage note? The appraiser values the land at $156,000, land improvements at $50,000, and the building at $200,000.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9950393

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