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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, $$502,350$; land, $$315,200$; land improvements, $$49,250$;

and four vehicles, $$118,200.$

Required:

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

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

Compute the first$-$year depreciation expense on the building using the straight$-$line method, assuming a $15-$year life and a $$31,000$

salvage value.

Compute the first$-$year depreciation expense on the land improvements assuming a five$-$year life and double$-$declining$-$balance

depreciation.

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