Accounting: Tools for Business Decision Making, 5th Edition

Published by Wiley
ISBN 10: 1118128168
ISBN 13: 978-1-11812-816-9

Chapter 2 - A Further Look at Financial Statements - Self-Test Questions: 4

Answer

The answer is letter "C"

Work Step by Step

The land should be recorded as a long-term investment. The reason is the tract of land is considered as a long-term asset because the expectation is to be built in 5 years.
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