Plant acquisitions for selected companies are as follows 1. Waterway Industries Inc. acquired land, buildings, and equipment from a bankrupt company, Torres Co., for a lump-sum price of $714,000. At the time of purchase, Torres's assets had the following book and appraisal values Book Values $204,000 255,000 306,000 Appraisal Values Land Buildings Equipment $153,000 357,000 306,000 To be conservative, the company decided to take the lower of the two values for each asset acquired. The following entry was made Land Buildings Equipment 153,000 255,000 306,000 Cash 714,000 2. Wildhorse Enterprises purchased store equipment by making a $2,040 cash down payment and signing a 1-year, $23,460, 10% note payable. The purchase was recorded as follows Equipment 27,846 Cash Notes Payable Interest Payable 2,040 23,460 2,346 3. Sheffield Company purchased office equipment for $18,300, 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: 3. Sheffield Company purchased office equipment for $18,300, 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: Equipment 18,300 Cash 17,934 366 Purchase Discounts 4. Tamarisk Inc. recently recelved 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 $27,540. The company made no entry to record the land because it had no cost basis. 5. Vaughn Company bullt a warehouse for $612,000. It could have purchased the building for $754,800. The controller made the following entry Buildings 754,800 Cash 612,000 142,800 Profit on Construction Prepare the entry that should have been made at the date of each acquisition. (Round intermediate calculations to 5 decimal palces, e.g. 0.56487 and final answers to 0 decimal places, e.g. 5,275. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) No. Account Titles and Explanation Debit Credit 1. No. Account Titles and Explanation Debit Credit 1. 2. 3. 4. 5