Required information

$[$The following information applies to the questions displayed below.$]$

Timberly Construction makes a lump$-$sum purchase of several assets on January $1$ at a total cash price of $$850,000.$ The estimated market values of the purchased assets are building, $$456,000$; land, $$256,500$; land improvements, $$47,500$; and four vehicles, $$190,000.$

Required:

$1-$a$.$ Allocate the lump$-$sum purchase price to the separate assets purchased.

$1-$b$.$ Prepare the journal entry to record the purchase.

$2.$ Compute the first$-$year depreciation expense on the building using the straight$-$line method, assuming a $15-$year life and a $$30,000$ salvage value.

$3.$ Compute the first$-$year depreciation expense on the land improvements assuming a five$-$year life and double$-$decliningbalance depreciation.

Complete this question by entering your answers in the tabs below.

Required $1A$

Required $1B$

Required $2$

Required $3$

Allocate the lump$-$sum purchase price to the separate assets purchased.

$\backslash$table$[[\backslash$table$[[$Allocation of total$],[$cost$]],\backslash$table$[[$Estimated$],[$Market Value$]],$Percent of Total,$,\backslash$table$[[$Total cost of$],[$Acquisition$]],\backslash$table$[[$Apportioned$],[$Cost$]]]]$