= Homework: Week Three Question 7, E11-3 (simila... Part 1 of 7 HW Score: 0%, 0 of 22 points Score: 0 of 1 Save Melton Manufacturing Corporation decided to expand its operations and open a new facility in Illinois. Rather than constructing a new plant, Melton negotiated a contract to purchase an existing facility from a former competitor for a total cost of $4,600,000. The facility included the land, building, machinery and equipment, inventory, and manufacturing supplies. The former competitor was closing its operations and decided to sell the facility at a reduced price, as reflected in the fair values of the individual assets acquired. (Click the icon to view the fair values of the individual assets acquired.) (Click the icon to view additional information.) Read the requirements the nearest percent, X% and your final answers to the nearest whole dollar.) - X More Info Requirement a. Determine the proper allocation of the purchase cost to each of the assets acquired. (Round interim percentages Allocation to Specific Asset Type Balance Sheet Accounts Data Table Building Land Machinery and Equipment Description Inventory Building Manufacturing Supplies Land Machinery and Equipment Total Inventory Manufacturing supplies Fair Value S 3,300,000 1,320,000 840,000 180.000 360,000 The building has a remaining useful life of 20 years and Melton expects the machinery and equipment to be productive for an additional five years from the date of acquisition. Melton uses the straight-line method and does not use residual values when computing depreciation. Melton accounts for inventory under the FIFO basis and expenses the supplies as consumed in operations. During the first year after the acquisition, the company sold all inventory acquired for $198,000 in cash and used 70% of the supplies in the production process. Assume Melton uses a perpetual inventory system. 6,000,000 Total Enter any number in the edit fields and then click Check Answer. Print Print Done Print Done Help Me Solve This e Text Pages Get More Help IH Type here to search o 80F Partly cloudy 10:07 PM 8/23/2021