Required information [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, 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 $660,000, with a useful life of 20 years and a $80,000 salvage value. 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 $1,770,000. The company also incurs the following additional costs. $ 343,400 189,400 Cost to demolish Building 1 Cost of additional land grading Cost to construct Building 3, having a useful life of 25 years and a $402,000 salvage value Cost of new Land Improvements 2 having a 20-year useful life and no salvage value 2,242,000 178,000 Journal entry worksheet Journal entry worksheet Record the year-end adjusting entry for the depreciation expense of Land Improvements 2. Record the year-end adjusting entry for the depreciation expense of Land Improvements 1. Note: Enter debits before credits. General Journal Debit Credit Note: Enter debits before credits Date Dec 31 Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal Record entry Clear entry View general Journal