A company purchased a 3-acre tract of land for a building site for $450,000. The company demolished the old building at a cost of $22,000, but was able to sell scrap from the building for $2,500. The cost of title transfer was $1,400 and attorney fees for reviewing the contract was $700. Property taxes paid were $8,000, of which $750 covered the period after the purchase date. The capitalized cost of the land is:

$478,850

Explanation:

Calculation to determine what The capitalized cost of the land is:

Using this formula

Capitalized cost of the land = Purchase cost + Old building Demolition + Cost of Title Transfer + Attorney fees + Property taxes paid - Building Scrap value

Let plug in the formula

Capitalized cost of the land= $450,000 + $22,000 + $1,400 + $700 + ($8,000 - $750) - $2,500

Capitalized cost of the land= $450,000 + $22,000 + $1,400 + $700 + $7,250 - $2,500

Capitalized cost of the land= $481,350 - $2,500

Capitalized cost of the land= $478,850

Therefore The capitalized cost of the land is: $478,850

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation:

answer; (d) i believe that the correct answer is ; /// a new invention lowers the cost of production;