Exercise 10-3 Lump-sum purchase of plant assets LO C1

Rodriguez Company pays $373,815 for real estate with land, land improvements, and a building. Land is appraised at $160,000; land improvements are appraised at $60,000; and a building is appraised at $180,000. Required: 1. Allocate the total cost among the three assets. 2. Prepare the journal entry to record the purchase.

Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Allocate the total cost among the three assets. (Round your "Apportioned Cost" answers to 2 decimal places.) Appraised Value Percent of Total Appraised Value 45% x Total Cost of Acquisition = Apportioned Cost $ 160,000 x 373,815 $ 168,216.75 X Land Land improvements Building 60,000 10% > * 373,815 56,072.25 45% * 373,815 160,000 X 380,000 14,952.00 X 239,241.00 Totals $ 100% $