Plant acquisitions for selected companies are as follows. 1. Ivanhoe Industries Inc. acquired land, buildings, and equipment from a bankrupt company, Torres Co., for a lump-sum price of $882,000. At the time of purchase, Torres's assets had the following book and appraisal values. Book Values Land Appraisal Values $189,000 441,000 378,000 $252,000 315,000 378,000 Buildings Equipment To be conservative, the company decided to take the lower of the two values for each asset acquired. The following entry was made. Land 189.000 315.000 Buildings Equipment 378,000 Cash 882,000 2. Shamrock Enterprises purchased store equipment by making a $2,520 cash down payment and signing a 1-year $28,980, 10% note payable. The purchase was recorded as follows. 34,398 Equipment Cash Notes Payable Interest Payable 2,520 28,980 2,898 3. Bridgeport Company purchased office equipment for $19,400, terms 2/10,n/30. Because the company intended to take the discount, it made no entry until it paid for the acquisition. The entry was: 19,400 Equipment Cash Purchase Discounts 19,012 388 4. Indigo Inc. recently received at zero cost land from the Village of Cardassia as an inducement to locate its business in the Village. The appraised value of the land is $34,020. The company made no entry to record the land because it had no cost basis. 5. Sweet Company built a warehouse for $756,000. It could have purchased the building for $932,400. The controller made the following entry 932,400 Buildings Cash 756,000 Profit on Construction 176,400 No. Account Titles and Explanation Debit Credit 1. Land Buildings Equipment Cash 2. Equipment Notes Payable Cash 3. Equipment Accounts Payable 4. Land Contribution Revenue 5. Buildings Cash