1.At December 31, 2021, M COMPANY's noncurrent operating asset and accumulated depreciation accounts had balances as follows:

Cost of Asset Accumulated Depreciation

LandP 130,000

Buildings1,200,000P 265,400

Machinery and equipment775,000196,200

Automobiles and trucks132,00086,200

Leasehold improvements221,000110,500

Depreciation Method Useful Life

Land improvementsStraight line12 years

Buildings150% declining balance25 years

Machinery and equipmentStraight line10 years

Automobiles and trucks150% declining balance5 years

Leasehold improvementsStraight line8 years

Depreciation is computed to the nearest month. The salvage values of the depreciable assets are immaterial.

Transactions during 2022 and other information are as follows:

a.On January 6, 2022, a plant facility consisting of land and building was acquired from A Corp. for P600,000. Of this amount, 20% was allocated to land.

b.On April 6, 2022, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of P192,000. These expenditures had an estimated useful life of 12 years

c.The leasehold improvements were completed on December 31, 2008, and had an estimated useful life of 8 years. The related lease, which would have terminated on December 31, 2014, was renewable for an additional 4-year term. On April 29, 2022, M exercised the renewal option.

d.On July 1, 2022, machinery and equipment were purchased at a total invoice cost of P250,000. Additional costs of P10,000 for delivery and P30,000 for installation were incurred.

e.On August 30, 2022, M purchased a new automobile for P15,000.

f.On September 30, 2022, a truck with a cost of P24,000 and a carrying amount of P8,100 on the date of sale was sold for P11,500. Depreciation for the 9 months ended September 30, 2022, was P2,352.

g.On December 20, 2022, a machine with a cost of P17,000 and a carrying amount of P2,975 at the date of disposition was scrapped without cash recovery.

Requirements:

a.Prepare the journal entries for 2022.

b.What is the depreciation expense on land improvements for 2022?

c.What is the depreciation expense on building for 2022?

d.What is the depreciation on automobiles and trucks for 2022?

e.What is the depreciation expense on leasehold improvements for 2022?

f.What is the depreciation expense on machinery and equipment for 2022?

g.What is the total depreciation expense for 2022?

h.What is the book value of the PPE items on December 31, 2022?