Hi, I only require section b of this to be completed. Problem 9-2A (Part Level S

Question

Hi, I only require section b of this to be completed.

Problem 9-2A (Part Level Submission) For the year ended December 31, 2015, Westlake Ltd. had the following transactions related to the purchase of property. Assume all transactions are for cash unless otherwise stated Feb. 7 Purchased real estate for $576,300, paying $150,500 cash and signing a mortgage payable for the balance. The site had an old building on it and the fair values of the land and building were $511,600 and $64,700, respectively. The old building will be demolished and a new apartment building will be constructed on the site 9 Paid legal fees of $11,640 on the real estate purchase of February 7 15 Paid $25,200 to demolish the old building and make the land ready for the construction of the apartment building. 17 Received $7,860 from the sale of material from the demolished building 28 Paid $2,000 to grade the land in preparation for the construction of the apartment building Paid architect fees of $36,530 to design the apartment building The full cost for construction of the apartment building was $1,319,200. Paid $360,800 cash and signed a bank loan payable for the balance. Purchased a one-year insurance policy on the finished building for $5,370 Paid $25,240 for the paving of sidewalks and a parking lot for the building Mar. 2 July 2 3 Aug. 29 Your answer is partially correct. Try again. Record the above transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Feb. 7 TLand 576300 Cash 150500 Mortgage Payable 425800 Feb. 9 TTOffice Expense 11640 Cash 11640 Feb. 15 TRepair and Maintenance E 25,200

Explanation / Answer

Date Particulars Land Land improvements Buildings 7-Feb Purchase of real estate 576300 9-Feb leagl fees 11640 15-Feb cost of demolishing old building 25200 17-Feb sale of demolished materials -7860 28-Feb grading costs of the land 2000 2-Mar Architect fees 36530 2-Jul Cost of constructing building 1319200 29-Aug Paving of sidewalks and parking lot for building 25240 607280 25240 1355730

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