st i 3 3 building that cost her 110,000 An appraisal shows the building has a value of 195,000 You Suppose you are considering the purchase of a building. The seller is asking 220,000 for a first offer 185,000 The seller counter offers with 205,000 Finally, you and the seller agree on a price of 200,000 What dollar amount for this building is reported on your financial statements?Which accounting assumption or principle guides your answer? What dollar amount for this building is reported on your financial statements? The dollar amount for the building to be reported on your financial statements is square Which accounting assumption or principle guides your answer? The accounting assumption or principle which guides the answer is square

What dollar amount for this building is reported on your financial statements?<br /><br />The dollar amount for the building to be reported on your financial statements is $\boxed{\$200,000}$.<br /><br />Which accounting assumption or principle guides your answer?<br /><br />The accounting assumption or principle which guides the answer is the **Historical Cost Principle**. This principle states that assets should be recorded at their original acquisition cost, which is the amount paid to acquire the asset. In this case, the acquisition cost is the agreed-upon price of $200,000. The other information, such as the seller's asking price, your initial offer, the seller's counteroffer, and the appraised value, are not relevant for recording the building's value on the financial statements.<br />