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I need some help! could you show me what goes in each box and why? Required information [The following information applies to the questions displayed
I need some help! could you show me what goes in each box and why?
Required information [The following information applies to the questions displayed below.] On January 1, Mitzu Company pays a lump-sum amount of $2.750.000 for land, Building 1, Building 2, and Land Improvements 1. Building 1 has no value and will be demollshed. Bullding 2 will be an office and is appraised at $854,000, with a useful life of 20 years and a $85.000 salvage value. Land Improvements 1 is valued at $427.000 and is expected to last another 14 years with no salvage value. The land is valued at $1,769,000. The company also incurs the following additional costs. Cost to demolish fluilding 1 Cost of additional land grading Cost to construct Building 3, having a useful 1ife of 25 years and a $398, 000 salvage value Cost of new tand tmprovenents 2 , having a 20 -year useful 1ife and no salvage value Required: 1. Allocate the costs incurred by Mitzu to the appropriate columns and total each column Step by Step Solution
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