1. Millburn Company has acquired a property that included both land and a building for $530,000. The company hired an appraiser who has determined that the market value of the land is $320,000 and that of the building is $480,000.

Prepare the journal entry to record the purchase of these assets. (Round any intermediate calculations to two decimal places, and your final answer to the nearest dollar.)

2. Calculate the depreciation expense using the straight-line and units-of-production methods for all years for the following operating asset.

Cost $65,000

Salvage value $5,000

Expected useful life is 4 years and total expected output is 150,000 units as follows:

Yr. 1 70,000

Yr. 2 35,000

Yr. 3 25,000

Yr. 4 20,000