1. Record the land purchased and a warehouse building for $460,000. The land was appraised at $187,000, while the building was appraised at $387,000.
2. Record the $65,200 expenditure on the warehouse building, renovating it for its expected use as a storage and shipping facility
3. Record the depreciation expense on the warehouse building from 1 February 20X2 until 31 August 20X7. The building was expected to have a 20-year life and a residual value of $23,000.
4. Record the depreciation expense on the warehouse building for 20X3.
5. Record the depreciation expense on the warehouse building for 20X4.
6. Record the depreciation expense on the warehouse building for 20X5.
7. Record the depreciation expense on the warehouse building for 20X6.
8. Record the exchange of the warehouse and land for another facility. MH paid $45,750 to the vendor, and $31,800 in legal fees as a result of the transaction. The new warehouse was appraised at $440,000, and the new land at $192,000. This warehouse facility was expected to have a useful life of 18 years and a residual value of $9,000.
9. Record the depreciation expense on the warehouse building for 20X7.
10. Record the depreciation expense on the warehouse building for 20X8.
11. Record the $368,800 claim received from the insurance company due to a fire that destroyed the warehouse. MH used the new warehouse facility from 1 September 20X7 until 28 February 20X9.
12. Record the expenses incurred in establishment of new warehouse facility with Architect fees of $92,000, $25,400 for removing debris, $257,800 for materials, $211,600 for labour, $57,200 for parking lot, $36,800 assigned as overhead and $36,200 for interest on loans.
13. Record the reduction tax payable due to receipt of a $112,000 investment tax credit.
14. Record the depreciation expense on the warehouse building for 20X9.
15. Record the reversal of deferred tax credit created due to receipt of a $112,000 investment tax credit.
16. Record the depreciation expense on the parking lot for 20X9.

A10-28 Comprehensive Long-Lived Asset Transactions and Depreciation (LO 10-2, 10-3) MH Plumbing inc. (MH) is the largest plumbing contractor in Moncton. Alberta. Information on selected transactions/events is given below: a. On 15 January 202, MH purchased land and a warehouse building for $460,000. The land was appraised at $187,000, while the building was appraised at $387,000. b. During January 202,MH spent $65,200 on the warehouse building, renovating it for its expected use as a storage and shipping facility. c. MH used the warehouse building from 1 February 202 until 31 August 207. The building was expected to have a 20 -year life and a residual value of $23,000. d. At the end of August 207,MH traded the warehouse and land for another facility on the other side of town. The second facility was slightly larger. MH paid $45,750 to the vendor, and $31,800 in legal fees as a result of the transaction. The new warehouse was appraised at $440,000, and the new land at $192,000. This warehouse facility was expected to have a useful life of 18 years and a residual value of $9,000. e. MH used the new warehouse facility from 1 September 207 until 28 February 209. At that time, a fire destroyed the warehouse. MH received $368,800 from the insurance company. f. MH called for tenders for construction of a new warehouse building in March 209, but the lowest bid was $800,000. The company decided to self-construct and began in May 20x9. Monies spent were as follows: g. MH received a $112,000 investment tax credit in 209 as a result of the building activities, which reduced 209 taxes payable. h. MH occupied its new warehouse on 1 January 20x10. It was appraised at $662,000. It was expected to last for 25 years, and have a residual value of $25. Required: Prepare journal entries to record all transactions listed above, including annual depreciation to the end of 20X10. Record annual depreciation using a declining-balance method of 10% for buildings, and 5% for parking lots. Justify any decisions made with respect to accounting policy or application. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Required: Prepare journal entries to record all transactions listed above, including annual depreciation to the end of 2010. Record annual depreciation using a declining-balance method of 10% for buildings, and 5% for parking lots. Justify any decisions made with respect to accounting policy or application. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the land purchased and a warehouse building for $460,000. The land was appraised at $187,000, while the building was appraised at $387,000. Note: Enter debits before credits