On March 31, 2024, Susquehanna Insurance purchased an office building for $14,100,000. Based on their relative fair values, one-third of the purchase price was allocated to the land and two-thirds to the building. Furniture and fixtures were purchased separately from office equipment on the same date for $1,270,000 and $770,000, respectively. The company uses the straight-line method to depreciate its buildings and the double-declining-balance method to depreciate all other depreciable assets. The estimated useful lives and residual values of these assets are as follows: Building Furniture and fixtures Office equipment Service Life 30 10 Residual Value 10% of cost 10% of cost 5 $ 37,000 Required: 1. Calculate depreciation for the years ended December 31, 2024 and 2025 2. What book values would be reported in the December 31, 2025, balance sheet (including land)