Lancaster Company decides to build its own factory on land owned by the firm. It cost Lancaster $188,500 to do this. When the factory was completed, a professional appraisal showed the market value of the building to be $220,000 sitting on a piece of land worth $50,000 that was acquired years ago for $16,000.

Required 1: What amount is reported in the balance sheet as the value of the land on Lancaster's book? $ ____

Required 2: What value should the new constructed building be shown at on Lancaster's books? $ ____

Required 3: If the building constructed will be depreciated in 50 years with no residual value (assume straight-line depreciation is used), what is the depreciation expense for the first full year of use? $ ____