E10-5 (Treatment of Various Costs) Ben Sisko Supply Company, a newly formed

corporation, incurred the following expenditures related to Land, to Buildings, and to

Machinery and Equipment. Abstract companys fee for title search $ 520 Architects fees
3,170 Cash paid for land and dilapidated building thereon 87,000 Removal of old
building $20,000 Less: Salvage 5,500 14,500 Interest on short-term loans during
construction 7,400 Excavation before construction for basement
Land
Abstract fees
Architects fees
Cash paid for land
and old building
Removal of old building
($20,000 $5,500)
Interest on loans during
construction

M&E

Other

520
$

3,170

87,000
14,500
7,400

Excavation before construction

Machinery purchased
Freight on machinery
Storage charges caused by
noncompletion of building
New building
Assessment by city
Hauling chargesmachinery
Installationmachinery
Landscaping

Buildings

19,000
$53,900
1,340

$1,100

Misc. expense
(Discount Lost)

2,180

Misc. expense
(Loss)

620

Misc. expense
(Loss)

485,000
1,600
2,000
5,400
$109,020

$514,570

$57,240

$3,900