Plant acquisitions for selected companies are as follows 1. Martinez Corporation purchased a company car by making a $4,050 cash down payment and signing a 1-year, $ 18,000 10% note payable. The purchase was recorded as follows. 23,850 Cash Notes Payable Interest Payable 4,050 18,000 1,800 2.As an inducement to locate its new branch office in the city of Greenwood Acres, Carla Vista Co.recelved land and a building from the city at no cost. The appralsed value of the land was $45,000. The appralsed value of the buildingwas $157,500. Since it paid nothing for the land and building, Carla Vista Co. made no journal entry to record the transaction. 3. Coronado Corporation purchased warehouse shelving for $90,000, terms 1/10,n/30. At the purchase date, Coronado intended to take the discount. Therefore, it made no entry until it paid for the acquisition. The entry was: Warehouse fixtures 90,000 Cash Purchase Discounts 89,100 900 4. Wildhorse Company built a piece of equipment for its factory. The cost of constructing the equipment was $144,000. Wildhorse could have purchased the equipment for $171,000. The controller made the following entry. Equipment 171,000 Cash, Materials, etc. Profir on Construction 144,000 27,000 5.Tamarisk Inc. acquired land, buildings, and equipment from Sale Corp., for a lump-sum price of $900,000. The book values of the assets on Sale's books at the date of purchase, as well as fair values for the assets, based on an appraisal performed shortly before the purchase, were as follows Asset Book Value Fair Value $225,000 $315,000 585,000 270,000 $1,080,000 $1,170,000 405,000 Equipment 450,000 Total The company decided to take the lower of the two values for each asset acquired. The following entry was made Land Buildings 405,000 Equipment 270,000 225,000 Cash Prepare the entry that should have been made at the date of each acquisition. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit 1. 2. 3. 4 5. Plant acquisitions for selected companies are as follows 1. Martinez Corporation purchased a company car by making a $4,050 cash down payment and signing a 1-year, $ 18,000 10% note payable. The purchase was recorded as follows. 23,850 Cash Notes Payable Interest Payable 4,050 18,000 1,800 2.As an inducement to locate its new branch office in the city of Greenwood Acres, Carla Vista Co.recelved land and a building from the city at no cost. The appralsed value of the land was $45,000. The appralsed value of the buildingwas $157,500. Since it paid nothing for the land and building, Carla Vista Co. made no journal entry to record the transaction. 3. Coronado Corporation purchased warehouse shelving for $90,000, terms 1/10,n/30. At the purchase date, Coronado intended to take the discount. Therefore, it made no entry until it paid for the acquisition. The entry was: Warehouse fixtures 90,000 Cash Purchase Discounts 89,100 900 4. Wildhorse Company built a piece of equipment for its factory. The cost of constructing the equipment was $144,000. Wildhorse could have purchased the equipment for $171,000. The controller made the following entry. Equipment 171,000 Cash, Materials, etc. Profir on Construction 144,000 27,000 5.Tamarisk Inc. acquired land, buildings, and equipment from Sale Corp., for a lump-sum price of $900,000. The book values of the assets on Sale's books at the date of purchase, as well as fair values for the assets, based on an appraisal performed shortly before the purchase, were as follows Asset Book Value Fair Value $225,000 $315,000 585,000 270,000 $1,080,000 $1,170,000 405,000 Equipment 450,000 Total The company decided to take the lower of the two values for each asset acquired. The following entry was made Land Buildings 405,000 Equipment 270,000 225,000 Cash Prepare the entry that should have been made at the date of each acquisition. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit 1. 2. 3. 4 5