1- Alpha Company made a lump sum purchase of land, building, and equipment. The following were the appraised values of each element:

PP&E Element

Amount

Land

$10,000

Building

20,000

Equipment

30,000

Alpha paid $45,000 cash for the lump sum purchase. What value should be allocated to the following? (Enter only whole dollar values.)

1. Land

2. Building

3. Equipment

2- On January 2, 2016, Alpha Company acquired a new machine by signing a 5 year note for $62,000. The estimated service life is eight years and the total units of output to be 200,000.The estimated residual value is $8,000. Using the straight-line method, how much is: (Enter only whole dollar values.)

1. the 2017 depreciation expense
2. the accumulated depreciation after the fiscal year 2017 adjusting entry
3. the book value of the machine after the fiscal year 2017 adjusting entry

3-Bravo Company purchased equipment on October 1, 2016. Bravo paid $60,000 for equipment and paid an additional $500 for shipping and $200 to place the equipment in service. The equipment is expected to have a $6,000 residual value and a 8-year life. Bravo has a December 31 fiscal year end. Using the double-declining balance method, how much is: (Enter only whole dollar values.)

1. the 2018 depreciation expense
2. the accumulated depreciation after the fiscal year 2018 adjusting entry
3. the book value of the machine after the fiscal year 2018 adjusting entry

4- On July 1, 2016, Alpha Company negotiated the purchase of a new piece of equipment with the seller Zulu Company. The equipment was list for $200,000. Smooth talking Alpha was able to negotiate the purchase price and acquired the equipment at $175,000.Alpha Company completed the purchase transaction on July 1. Additionally, Alpha was entitled to a 1% discount if it paid for the equipment within 10 days.After completing the purchase, Bravo Company, third party, offered Alpha, $185,000 for this equipment.What amount should Alpha Company record the equipment purchase at if payment is made by July 11?

5- Alpha Company was recently sold for $1,250,000. Alpha assets & liabilities consisted of the following:

Item

Amount

Cash

$75,000

Inventory

$275,000

Property, Plant & Equipment (net)

$750,000

Accounts Payable

$350,000

Using this information, how much should be recorded as Goodwill for this transaction?