Required information [The following information applies to the questions displayed below) On January 1, Mitzu Co. pays a lump sum amount of $2,600,000 for land, Building 1, Building 2, and Land Improvements 1. Building 1 has no value and will be demolished. Building 2 will be an office and is appraised at $630,000, with a useful life of 20 years and a $90,000 salvage value. Land improvements 1 is valued at $480,000 and is expected to last another 16 years with no salvage value. The land is valued at $1,890,000. The company also incurs the following additional costs. $ 347, 400 191,400 Cost to denolish Building 1 Cost of additional land grading Cost to construct Building 3, having a useful life of 25 years and a $398,000 salvage value Cost of new Land Improvenents 2 having a 20-year useful life and no salvage value 2,222,000 168,000 2. Prepare a single journal entry to record all the incurred costs assuming they are paid in cash on January 1, View transaction list Journal entry worksheet 1 Record the cost of the plant assets, paid in cash. Note: Enter debits before credits General Journal Date Jan 01 Debit Credit