Exercise 7.3 (Algo) Allocate costs in a basket purchase (LO7-1) Red River Bakery purchases land, building, and equipment for a single purchase price of $200,000. However, the estimated fair values of the land, building, and equipment are $105,000,$180,000, and $15,000, respectively, for a total estimated fair value of $300,000. Required: Determine the amounts Red River should record in the separate accounts for the land, the building, and the equipment. Exercise 7-12 (Algo) Determine straight-line depreciation for partiol periods (LO7-4) Leland's Sandwiches acquired equipment on April 1, 2024, for $17,500. The company estimates a residual value of $1,900 and a five: year service life. Required: Calculate depreciation expense using the straight-line method for 2024 and 2025, assuming a December 31 year-end