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Required information E 9 - 2 ( Algo ) Computing and Recording a Basket Purchase and Straight - Line Depreciation [ LO 9 - 2

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E9-2(Algo) Computing and Recording a Basket Purchase and Straight-Line Depreciation [LO 9-2, LO 9-3]
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Bridge City Consulting bought a building and the land on which it is located for $100,000 cash. The land is estimated to represent 60 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use.
E9-2(Algo) Part 3 and 4
Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10-year useful life and a $11,000 estimated residual value. (Do not round intermediate calculations.)
What should be the book value of (a) the land and (b) the building at the end of year 2?

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