In January 2, 2022, Bath Inc. (Bath) purchased an office building on a one hectare piece of land in Saskatoon for $6,000,000. An appraiser valued the land at $1,375,000. The building was eight years old when they bought the property and Bath's management expects it to last for another 10 years and the residual value estimated at that time will be $ 500,000. Management has decided to use straight-line depreciation. Required: 1. Prepare the journal entries that Bath would make to record the purchase of the land and building. What entry would be made to record the depreciation expense for the year ended December 31, 2022? 2. Prepare the journal entries that Bath would make to record the depreciation expense for the year ended December 31, 2023 assuming Bath used the double declining balance method. 3. Assume Bath uses the straight depreciation method and they decide at the end of December 2023 to change the residual value to $ 300,000 and the total useful life of the building from 10 to 12 years. The property (land & building) is sold on December 31, 2026 at $ 6,500,000. Prepare the journal entry on December 31, 2026 to account for the sale of the property