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Need help with question Required information [The folio wing fnfonnalion applies to the questions displayed below} On January 1, Mitzu Co. pays a lump-sum amount

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Required information [The folio wing fnfonnalion applies to the questions displayed below} On January 1, Mitzu Co. pays a lump-sum amount of $2,550,000 for land, Building 1, Building 2, and Land Improvements 1' Building 1 has no value and will be demolished. Building 2 will be an office and is appraised at $310,000, with a useful life of 20 years and a $85,000 salvage value. Land |mprovements1 is valued at $390,000 and is expected to last another 13 years with no salvage value' The land is valued at $1,800,000. The company also incurs the following additional costs. Cost to demolish Building 1 $ 341,400 Cost of additional land grading 185,400 Cost to construct Building 3. having a useful life of 25 years and a $400,000 salvage value 2,262,000 Cost of new Land Improvements 2 having a 20year useful life and no salvage value 168,000 Required: 1. Allocate the costs incurred by Mitzu to the appropriate columns and total each column. 1. Allocate the costs incurred by Mitzu to the appropriate columns and total each column. Percent of Allocation of purchase price Appraised Total Total cost of Value Appraised X acquisition = Apportioned Cost Value Land X Building 2 X Land Improvements 1 X Totals Land Building 2 Building 3 Land Land Improvements 1 Improvements 2 Purchase Price Demolition Land grading New building (Construction cost) New improvements Totals

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