1B

1C

1D

Required information (The following information applies to the questions displayed below.) Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $840,000. The estimated market values of the purchased assets are building, $446,400; land, $260,400: land improvements, $65,100; and four vehicles, $158.100. Required: 1-a. Allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase. 2. Compute the first-year depreciation expense on the building using the straight-line method, assuming a 15-year life and a $30,000 salvage value. 3. Compute the first-year depreciation expense on the land improvements assuming a five-year life and double-declining balance depreciation. Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2 Required 3 Allocate the lump-sum purchase price to the separate assets purchased. Allocation of total cost Appraised Value Apportioned Cost $ Building Land Percent of Total Total cost of Appraised Value Acquisition 48 % * $ 840,000 28% X $ 840,000 7% x $ 840,000 17% X $ 840,000 446,400 260,400 65,100 158,100 930,000 Land improvements Vehicles Total $ 100% $ Required 1A Required 1B > Journal entry worksheet