Problem 9-8A a-c At January 1, 2018, Cullumber Limited reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings Accumulated depreciation equipment Buildings Equipment Land $59,500,000 50,700,000 99,300,000 140,000,000 20,700,000 The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a 10-year useful life and no residual value. During 2018, the following selected transactions occurred: 1 Apr. May June 1 1 Purchased land for $4,240,000. Paid $1,190,000 cash and issued three-year, 7% mortgage payable for the balance. Interest on the mortgage is payable annually each April 1. Sold equipment for $330,000 cash. The equipment cost $2,562,000 when originally purchased on January 1, 2010. Sold land for $3,823,100. Received $837,500 cash and accepted a three-year, 5% note for the balance. The land cost $1,600,000 when purchased on June 1, 2012. Interest on the note is due annually each June 1. Purchased equipment for $2,200,000 cash. Retired equipment that cost $1,000,000 when purchased on January 1, 2009. No proceeds were received. Tested land for impairment and found that its recoverable value was $20,700,000. July 1 Dec. 31 31 Record the above transactions. (Credit account titles are automatically indented when the 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. Round answers to 0 decimal places, e.g. 5,275. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit Apr. 1 Land 4,240,000 Cash 1,190,000 Mortgage Payable 3,050,000 Record any adjusting entries required at December 31. (Credit account titles are automatically indented when the 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. Round answers to O decimal places, e.g. 5,275.) Date Account Titles and Explanation Debit Credit Dec. 31 Depreciation Expense Accumulated Depreciation - Buildings (To record depreciation expense on buildings) Dec. 31 Depreciation Expense Accumulated Depreciation - Equipment (To record depreciation expense on equipment) Dec. 31 Interest Expense Interest Payable (To record interest expense) Dec. 31 Interest Receivable Interest Payable (To record interest revenue) Prepare the property, plant, and equipment section of the company's statement of financial position at December 31. (List Property, Plant and Equipment in order of Land, Building and Equipment.) CULLUMBER LIMITED Statement of Financial Position (Partial) Assets $