XYZ?Company purchased two buildings on four acres of land. The lump-sum purchase price was $1,000,000. According to independent appraisals, the fair values were $290,000 (building A) and $415,000 (building B) for the buildings and $315,000 for the land.
Determine the amounts of the buildings and the land that?XYZ will record on its books related to the lump-sum purchase. You answer must be supported by calculations.
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