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On January 1, Year 1, Prairie Enterprises purchased a parcel of land for $11,000 cash....

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Accounting

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On January 1, Year 1, Prairie Enterprises purchased a parcel of land for $11,000 cash. At the time of purchase, the company planned to use the land for a warehouse site. In Year 3, Prairle Enterprises changed its plans and sold the land. Required a. Assume that the land was sold for $12,210 in Year 3. (1) Show the effect of the sale on the accounting equation (2) What amount would Prairie report on the Year 3 income statement related to the sale of the land? (3) What amount would Prairie report on the Year 3 statement of cash flows related to the sale of the land? b. Assume that the land was sold for $10,340 in Year 3. (1) Show the effect of the sale on the accounting equation. (2) What amount would Prairie report on the Year 3 income statement related to the sale of the land? (3) What amount would Prairie report on the Year 3 statement of cash flows related to the sale of the land? Complete this question by entering your answers in the tabs below Req A1 Req A2 and A3Req B1 Req 82 and B3 Assume that the land was sold for $12,210 in Year 3. Show the effect of the sale on the accounting equation. (Enter any decreases to account balances with a minus sign.) ENTERPRISES Assets n Stock + nings Req A2 and A3

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