What happens if you try to use your credit card after youve already met your credit limit

you might have a promblem if you try to to many times and then might get in trouble when you keep doing it. it depends on what the card that you bought it from and what they do with that promblems

1. Land $193,800

Building $0

Explanation:

1. Calculation to determine what portion of these costs should be allocated to the cost of the land and what portion should be allocated to the cost of the new building

Purchase price$175,000

Real Estate commissions$15,000

Legal fees$800

Expenses of clearing the land$2,000

Expenses to remove old building$1,000

Total$193,800

Therefore the total cost of the land is $193,800 and NO cost will be allocated to the cost of the new BUILDING

2. Preparation of the journal entry to record these costs

Dr Land A/c$193,800

Cr Cash A/c $193,800

(Being land purchased for cash and the associated expenses being recorded)