1. a. Ogden Industries purchased the following asset and constructed a building as well. All this was done during the current year. Machinery was acquired by issuing 1,000 shares of Si par value common stock. The stock was actively traded and had a market value of S7 per share. 1. b. Construction of Building A building was constructed on land purchased last year at a cost of $120,000. Construction began on March 1 and was completed on September I. The payments to the contractor were as follows Date Payment 3/1 S200,000 5/1 300.000 6/1 100,000 9/1 400,000 To finance construction of the building, a $600,000, 10% construction loan was taken out on March 1. The loan was repaid on September 1. The firm had $400,000 of other outstanding debt during the year at a borrowing rate of 12%. 1. a. Ogden Industries purchased the following asset and constructed a building as well. All this was done during the current year. Machinery was acquired by issuing 1,000 shares of Si par value common stock. The stock was actively traded and had a market value of S7 per share. 1. b. Construction of Building A building was constructed on land purchased last year at a cost of $120,000. Construction began on March 1 and was completed on September I. The payments to the contractor were as follows Date Payment 3/1 S200,000 5/1 300.000 6/1 100,000 9/1 400,000 To finance construction of the building, a $600,000, 10% construction loan was taken out on March 1. The loan was repaid on September 1. The firm had $400,000 of other outstanding debt during the year at a borrowing rate of 12%