Problem 8-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The following information applies to the questions displayed below.] Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $840,000. The estimated market values of the purchased assets are building, $488,800; land, $291,400; land improvements, $37,600; and four vehicles, $122,200. Problem 8-1A (Algo) Part 1-3 Required: 1-a. Allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase. 2. Compute the first-year depreciation expense on the building using the straight-line method, assuming a 15-year life and a $29,000 salvage value.

Allocate the lump-sum purchase price to the separate assets purchased. Problem 8-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The fottowing information appilies to the questions displayed below] Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $840.000. The estimated market values of the purchased assets are building. $488,800; : land, $291,400, land improvements, $37,600. and four vehicles, $122,200. Problem 8-1A (Algo) Part 1-3 Required: 1-a. Allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase. 2. Compute the first-year depreclation expenste on the bulding using the straight-line method, assuming a 15 -year life and a $29.000 salvage value. Record the costs of lump-sum purchase. Note: Enter debits before credits. Compute the first-year depreciation expense on the buliding using the straight-line method, assuming a 15 -year life and $29,000 salvage value. (Round your answer to the nearest whole dollar)