E Business Course Retum to course Allocation of Package Purchase price and Depreciation Methods In an expansion move, James Company paid $2,190,000 for most of the property, plant, and equipment of a small manufacturing firm that was going out of bu James hired a consultant for $25,000 to appraise the assets. The appraised values were as follows: Land Building Equipment Trucks Total $35.000 912.000 960,000 144,000 $2.400.000 James issued two checks totaling $2,215,000 to acquire the assets and pay the consultant on April 1. James deprecated the assets using the straight-line method and the double-declining balance method for the trucks, Estimated useful lives and salvage values were as follows: Salvage Useful Lite Value Building 30 years $85.000 10 years 70,000 4 years 13.000 Equipment a. Calculate the amounts allocated to the various types of plant assets acquired on April 1 Asset Total land $ 54,400 Building Equipment 132.900 Trucks b. Prepare the April journal entries to record the purchase of the assets and the payment to the consultant Combine both cash disbursements into one journal entry General Journal Description Debit Credit Aprt Land Date Equipment 0