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The net book value of buildings increased by $170,000 during the year. No buildings were sold during the year, and depreciati
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Answer #1

Increase in net book value of building = $170,000

Depreciation expense for the year = $55,000

Cash paid to purchase building = Increase in net book value of building + Depreciation expense for the year

= 170,000 + 55,000

= $225,000

Fourth option is the correct option.

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