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The city of Anchorage sold land for its appraised value to the Big Bear Oil Company...

The city of Anchorage sold land for its appraised value to the Big Bear Oil Company on June 1, 2014, that originally cost the city $950,000. On June 1, 2014, the land was appraised at a value of $1,400,000, and on December 31, 2014, the land's value was estimated to be $1,450,000. On Big Bear Oil Company's balance sheet at December 31, 2014, the land should be valued at

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Land should be valued at $1400000 .

Appraised value is evaluated by professional appraiser at a given point of time.Estimated value is the market value.Appraised value is deduced by considering several factors like value of properties of similar size and location , layout, parking lot .Value determined by professional for loan purpose.So appraised value should be considered for Balance Value at year end.

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