Crane Industries purchased the following assets and constructed a building as well All this was done during the current year Assets 1 and 2 These assets were purchased as a lump sum for $250,000 cash The following information was gathered Description Initial Cost on Sellers Books Depreciation to Date on Sellers Books Book Value on Sellers Books Appraised Value Machinery $250,000 $125,000 $125,000 $225,000 Equipment 150,000 25,000 125,000 75,000 Asset 3 This machine was acquired by making a $25,000 down payment and issuing a $75,000, 2 year, zero interest bearing note The note is to be paid off in two $37,500 installments made at the end of the first and second years It was estimated that the asset could have been purchased outright for $89,750 Asset 4 This machinery was acquired by trading in used machinery (The exchange lacks commercial substance ) Facts concerning the trade in are as follows Cost of machinery traded $250,000 Accumulated depreciation to date of sale 100,000 Fair value of machinery traded 200,000 Cash received 25,000 Fair value of machinery acquired 175,000 Asset 5 Equipment was acquired by issuing 100 shares of $20 par value common stock The stock had a market price of $28 per share Construction of Building A building was constructed on land purchased last year at a cost of $375,000 Construction began on February 1 and was completed on November 1 The payments to the contractor were as follows Date Payment 2 1 $300,000 6 1 900,000 9 1 1,200,000 11 1 250,000 To finance construction of the building, a $1,500,000, 12 construction loan was taken out on February 1 The loan was repaid on November 1 The firm had $500,000 of other outstanding debt during the year at a borrowing rate of 8 Record the acquisition of each of these assets (Round intermediate calculations to 5 decimal places, e g 1 25124 and final answer to 0 decimal places e g 58,971 Credit account titles are automatically indented when amount is entered Do not indent manually If no entry is required, select No Entry for the account titles and enter 0 for the amounts )

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Crane Industries purchased the following assets and constructed a building as well. All this was done during the current year. Assets 1 and 2: These

Crane Industries purchased the following assets and constructed a building as well. All this was done during the current year. Assets 1 and 2: These assets were purchased as a lump sum for $250,000 cash. The following information was gathered.

Description	Initial Cost on Sellers Books	Depreciation to Date on Sellers Books	Book Value on Sellers Books	Appraised Value
Machinery	$250,000	$125,000	$125,000	$225,000
Equipment	150,000	25,000	125,000	75,000

Asset 3: This machine was acquired by making a $25,000 down payment and issuing a $75,000, 2-year, zero-interest-bearing note. The note is to be paid off in two $37,500 installments made at the end of the first and second years. It was estimated that the asset could have been purchased outright for $89,750. Asset 4: This machinery was acquired by trading in used machinery. (The exchange lacks commercial substance.) Facts concerning the trade-in are as follows.

Cost of machinery traded		$250,000
Accumulated depreciation to date of sale		100,000
Fair value of machinery traded		200,000
Cash received		25,000
Fair value of machinery acquired		175,000

Asset 5: Equipment was acquired by issuing 100 shares of $20 par value common stock. The stock had a market price of $28 per share. Construction of Building: A building was constructed on land purchased last year at a cost of $375,000. Construction began on February 1 and was completed on November 1. The payments to the contractor were as follows.

Date		Payment
2/1		$300,000
6/1		900,000
9/1		1,200,000
11/1		250,000

To finance construction of the building, a $1,500,000, 12% construction loan was taken out on February 1. The loan was repaid on November 1. The firm had $500,000 of other outstanding debt during the year at a borrowing rate of 8%. Record the acquisition of each of these assets. (Round intermediate calculations to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places e.g. 58,971. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)