Required information Problem 8-3A Asset cost allocation: straight-line depreciation LO C1, P1 [The following information applies to the questions displayed below] On January 1. Mitzu Co pays a lump-sum amount of \$2,700,000 for land, Building 1, Buitding 2, and Land improvements 1 Building 1 has no value and will be demolished. Building 2 will be an office and is appraised at $660,000, with a usefur life of 20 years and a $80,000 salvage vatue. Land Improvements 1 is valued at $570,000 and is expected to last another 19 years with no salvage value. The land is valued at $1770,000. The company also incurs the following additional costs. Problem 8-3A Port 2 2. Prepare a single journal entry to tecord all the incurred costs assuming they are paid in cash on January 1. Journal entry worksheet Record the year-end adjusting entry for the depreciation expense of Building 2. Note: Enter debits before credits. Journal entry worksheet 4 Record the year-end adjusting entry for the depreciation expense of Building 3. Note: Enter debits before credits. Journal entry worksheet 1 Record the year-end adjusting entry for the depreciation expense of Land improvements 1. Note: Enter debits before credits. 3. Using the straight-iine method, prepare the December 31 adjusting entries to record depreciation for the firs in use. Journal entry worksheet Record the year-end adjusting entry for the depreciation expense of Land improvements 2. Notei Enter debits before credits