Current Attempt in Progress Waterway Company, a manufacturer of ballet shoes, is experiencing a period of sustained growth. In an effort to expand its production capacity to meet the increased demand for its product, the company recently made several acquisitions of plant and equipment. Rob Joffrey, newly hired in the position of fixed-asset accountant, requested that Danny Nolte, Waterway's controller, review the following transactions. Transaction 1: On June 1, 2025, Waterway Company purchased equipment from Wyandot Corporation. Waterway issued a $27,200, 4-year, zero-interest-bearing note to Wyandot for the new equipment. Waterway will pay off the note in four equal installments due at the end of each of the next 4 years. At the date of the transaction, the prevailing market rate of interest for obligations of this nature was 11%. Freight costs of $387 and installation costs of $450 were incurred in completing this transaction. The appropriate factors for the time value of money at a 11% rate of interest are given below. Future value of $1 for 4 periods 1.52 Future value of an ordinary annuity for 4 periods 4.71 Present value of $1 for 4 periods 0.66 Present value of an ordinary annuity for 4 periods 3.10 Transaction 2: On December 1, 2025, Waterway Company purchased several assets of Yakima Shoes Inc., a small shoe manufacturer whose owner was retiring. The purchase amounted to $225,000 and included the assets listed below. Waterway Company engaged i the services of Tennyson Appraisal Inc., an independent appraiser, to determine the fair values of the assets which are also presented below. Yakima Book Value Fair Value Yakima Book Value Fair Value Inventory $63,700 $46,000 Landi 41.700 79,000 Buildings 66,800 125.000 $172.200 $250,000 During its fiscal year ended May 31, 2026, Waterway incurred $7,460 for interest expense in connection with the financing of these assets. Transaction 3: On March 1, 2026, Waterway Company exchanged a number of used trucks plus cash for vacant land adjacent to its plant site. (The exchange has commercial substance.) Waterway intends to use the land for a parking lot. The trucks had a combined book value of $35,240, as Waterway had recorded $19,700 of accumulated depreciation against these assets. Waterway's purchasing agent, who has had previous dealings in the secondhand market, indicated that the trucks had a fair value of $43.440 at the time of the transaction. In addition to the trucks, Waterway Company paid $20,260 cash for the land. (b) For each of the three transactions described above, determine the value at which Waterway Company should record the acquired assets. (Round answers to 0 decimal places es 58,971.) Transaction 1 Value book value of $35,240, as Waterway had recorded $19,700 of accumulated depreciation against these assets. Waterway's purchasing agent, who has had previous dealings in the secondhand market, indicated that the trucks had a fair value of $43,440 at the time of the transaction. In addition to the trucks, Waterway Company paid $20,260 cash for the land. (b) For each of the three transactions described above, determine the value at which Waterway Company should record the acquired assets. (Round answers to O decimal places eg. 58,971) Value Transaction 1 $ Transaction 2 Inventory Land Building Transaction 3