1. 2. Wildhorse Corporation, a manufacturer of steel products, began operations on October 1, 2019. The accounting department of Wildhorse has started the fixed asset and depreciation schedule presented below. You have been asked to assist in completing this schedule. In addition to ascertaining that the data already on the schedule are correct, you have obtained the following information from the company's records and personnel. Depreciation is computed from the first of the month of acquisition to the first of the month of disposition. Land A and Building A were acquired from a predecessor corporation. Wildhorse paid $732,000 for the land and building together. At the time of acquisition the land had an appraised value of $83,300, and the building had an appraised value of $749,700 3. Land B was acquired on October 2, 2019. in exchange for 2,600 newly issued shares of Wildhorse's common stock. At the date of acquisition, the stock had a par value of $5 per share and a fair value of $27 per share. During October 2019. Wildhorse paid $17,500 to demolish an existing building on this land so it could construct a new building. Construction of Building B on the newly acquired land began on October 1, 2020. By September 30, 2021. Wildhorse had paid $338,600 of the estimated total construction costs of $413.200. It is estimated that the building will be completed and occupled by July 2022 Certain equipment was donated to the corporation by a local university. An independent appraisal of the equipment when donated placed the fair value at $39,600 and the salvage value at $3,200. Machinery A's total cost of $172,200 includes installation expense of $570 and normal repairs and maintenance of $13,500, Salvage value is estimated at $7,500. Machinery A was sold on February 1, 2021 7. On October 1, 2020, Machinery B was acquired with a down payment of $7.400 and the remaining payments to be made in 11 annual installments of $7,660 each beginning October 1, 2020. The prevailing interest rate was 8%. The following data were abstracted from present value tables (rounded) 4 5. 6. Present value of $1.00 at 8% Present value of annuity due of $1.00 at 8% Present value of an ordinary annuity of $1.00 at 8% 10 years 6.710 11 years 7.139 15 years 8.559 10 years 11 years 15 years 0.463 0.429 0.315 10 years 11 years 15 years 7.469 7.71 9.244 Assets Acquisition Date Cost Salvage Depreciation Method Land A (1) $ N/A N/A October 1, 2019 October 1, 2019 Building A (2) $43,100 Straight-line Land B October 2, 2019 (5) NIA N/A Building B $338,600 to date Under Construction October 2, 2019 Donated Equipment 3,200 Straight-line 150% declining balance Sum-of-the-years-digits Machinery A October 2, 2019 (10) 7,500 Machinery B October 1.2020 (13) Straight line VILDHORSE CORPORATION -Asset and Depreciation Schedule ed September 30, 2020, and September 30, 2021 Depreciation Expense Year Ended September 30 Depreciation Method Estimated Life in Years 2020 2021 N/A N/A N/A N/A Straight-line (3) $12,314 (4) N/A N/A N/A N/A Straight-line 30 (6) 50% declining-balance 10 (8) (9) am-of-the-years-digits 8 (11) (12) Straight-line 20 (14)