Little king acquires land and an old building across the, Finance Basics

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Little king acquires land and an old building across the

Question: 1. Little King acquires land and an old building across the street from Northwestern State University. Little King intends to remove the old building and build a new sandwich shop on the land. What costs might the firm incur to make the land ready for its intended use?

2. Why don't we depreciate land? What are land improvements? Why do we record land and land improvements separately?

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