Lori Industries purchased the following assets and constructed a building as well. All this was done during the current year. Assets 1 and 2: These assets were purchased as a lump sum for $340,000 cash. The following information was gathered.

Description		Initial Cost on Sellers Books			Depreciation to Date on Sellers Books			Book Value on Sellers Books			Appraised Value
Machinery		$340,000			$170,000			$170,000			$306,000
Equipment		204,000			34,000			170,000			102,000

Asset 3: This machine was acquired by making a $34,000 down payment and issuing a $102,000, 2-year, zero-interest-bearing note. The note is to be paid off in two $51,000 installments made at the end of the first and second years. It was estimated that the asset could have been purchased outright for $122,060. Asset 4: This machinery was acquired by trading in used machinery. (The exchange lacks commercial substance.) Facts concerning the trade-in are as follows.

Cost of machinery traded		$340,000
Accumulated depreciation to date of sale		136,000
Fair value of machinery traded		272,000
Cash received		34,000
Fair value of machinery acquired		238,000

Asset 5: Equipment was acquired by issuing 100 shares of $27 par value common stock. The stock had a market price of $37 per share. Construction of Building: A building was constructed on land purchased last year at a cost of $510,000. Construction began on February 1 and was completed on November 1. The payments to the contractor were as follows.

Date		Payment
2/1		$408,000
6/1		1,224,000
9/1		1,632,000
11/1		340,000

To finance construction of the building, a $2,040,000, 12% construction loan was taken out on February 1. The loan was repaid on November 1. The firm had $680,000 of other outstanding debt during the year at a borrowing rate of 8%. Record the acquisition of each of these assets.

Account Titles and Explanation	Debit	Credit
Acquisition of Assets 1 and 2
Acquisition of Asset 3
Acquisition of Asset 4
Acquisition of Asset 5
(To record acquisition of Office Equipment)