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Shahia Company bought a building for $$382,000$ cash and the land on which it was located for $$107,000$ cash. The

company paid transfer costs of $$9,000($ $$3,000$ for the building and $$6,000$ for the land$).$ Renovation costs on the

building before it could be used were $$21,000.$

Required:

Prepare the journal entry to record the purchase of the property, including all relevant expenditures. Assume that all transactions

were for cash and that all purchases occurred at the start of the year.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Record the purchase of property, including all expenditures, paid with cash.

Compute straight$-$line depreciation at the end of one year, assuming an estimated $10-$year useful life and a $$15,000$ estimated

residual value.

Straight$-$line depreciation

Determine the net book value of the property $($land and building$)$ at the end of year $2.$

Note: Amounts to be deducted should be indicated by a minus sign.