Accounts included under property, plant, and equipment on Lory Companys balance sheet at the beginning of Year 9 had the following balances (at original cost).

Land	$220,000
Land improvements	75,000
Buildings	600,000
Machinery and equipment	650,000

During Year 9, the following transactions occurred.

1. A plant facility consisting of land and building was acquired from Club Company in exchange for 10,000 shares of Lorys common stock. On the acquisition date, Lorys stock had a closing market price of $39 per share on a national stock exchange. The plant facility was carried on Clubs accounts at $95,000 for land and $130,000 for the building at the exchange date. Current appraised values for the land and building, respectively, are $120,000 and $240,000. 2. A tract of land was acquired for $85,000 as a potential future building site. 3. Machinery was purchased at a total cost of $250,000 . Additional costs were incurred as follows.

Freight and unloading	$5,000
Sales and use taxes	10,000
Installation	25,000

4. Expenditures totaling $90,000 were made for new parking lots, paved drives, and sidewalks at the companys various plant locations. These improvements had an estimated useful life of 15 years. 5. A machine that cost $50,000 on January 1 of Year 1 is scrapped on June 30 of Year 9. Double-declining-balance depreciation has been recorded on the basis of a 10-year life. 6. A machine was sold for $25,000 on July 1 of Year 9. Original cost of the machine was $37,000 at January 1 of Year 6 and it was depreciated on the straight-line basis over an estimated useful life of eight years with a residual value of $1,000 .

Required

a. Determine the balances at December 31 of Year 9 for each of the following accounts: (1) Land, (2) Land improvements, (3) Buildings, and (4) Machinery and equipment.

1. Land: $Answer

2. Land improvements: $Answer

3. Buildings: $Answer

4. Machinery and equipment: $Answer

b. Compute the gain or loss on scrapping equipment on June 30 of Year 9 (from transaction 5). Note: Do not use a negative sign with your answer.

AnswerGainLoss

on scrapping of machine: $Answer

c. Compute the gain or loss on sale of equipment on July 1 of Year 9 (from transaction 6). Note: Do not use a negative sign with your answer.

AnswerGainLoss

on sale of equipment: $Answer