On April 1, 2022 Rhodes Ltd. purchased a factory, including land, a building, and equipment for $6,500,000. Of this amount, 40% was paid in cash, 60% by signing a 10 year, 4%, note payable. In addition to the purchase cost, Rhodes paid 6% of the cost of the factory for the taxes, $70,000 in legal fees, $34,000 for overhauling the equipment, and $220,000 for renovating the building. These costs were paid in cash. The land, building, and equipment were appraised as 40%, 50% and 10% of the purchase price. Required: 1. Apportion the cost of the factory. A B C D 1 Asset Items: Apportioned Cost Additional Cost Total Costs 2 Land $ 2,600,000 3 Building $ 3,250,000 $ 220,000 4 Equipment $ 650,000 $ 5 Total 6,500,000 $ 34,000 254,000 $ 0 2. Record journal entries for the purchase on April 1. View transaction list