4. FNT Company purchased land and a building on January 1, 2018, at a cost of $950,000. The land was appraised at $150,000 and the building at $900,000. FNT renovated the building from January 1 to March 31, 2018, at a cost of $125,000. It also paid the local government an assessment of $55,000 to have a sidewalk and improved sewer system put into place. The new building opened on April 1, 2018, with a customer reception that cost JMT $7,000. FNT estimates the building will be used for 25 years and will use the straight line method to depreciate the asset Required: 1. Prepare the journal entries relating to the purchase of the land and building.

2. Prepare the journal entries related to the subsequent expenditure on the purchase

Use 2 decimal places to calculate the percentage for building and land (7marks)