Residence Hotel reported the following on its Statement of financial Position at December 31, 2017: Property , Plant and Equipment: Land 1,000,000 Buildings ..... 900,000 Less: Accumulated depreciation (350,000) Equipment 500,000 Less: Accumulated depreciation (210,000) . On 1 August 2018, the hotel expanded operations and purchased additional Land at a cost of $200,000 (half the amount paid cash and the remaining amount on account) . On 10 September 2018, the hotel expanded operations and imported new Equipment at a list price of $100,000 cash. The company paid tariffs and insurance for the new Equipment on 12 September 10,000 cash. The company also paid installation fees on 22 September for the new Equipment 5,000 cash. The company Started to use the new Equipment in the production on 26 September 2018. On 1 December 2018, the company paid maintenance and repair costs for the Equipments $2000 cash. . Due to obsolescence, ALL Equipments has a useful life of only 10 years and is being depreciated by the double-declining-balance method with zero residual value. The company depreciates Buildings by the straight-line method over 50 years with residual value of $50,000. Required: 1. Identify the items that should be classified as Capital Expenditures 2. Identify the items that should be classified as Revenue Expenditures 3. Calculate the cost of acquiring the new Equipment. 4. Record the necessary journal entries on 1 August 10 September 12 September, 22 September, 26 September, and 1 December, 2018. 5. Calculate the depreciation expense, accumulated depreciation for the Buildings, Old Equipment and New Equipment at 31/12/2018 6. Prepare the adjusting entries for Residence Hotel's PPE depreciation transactions for 2018. 7. Report PPEs on the December 31, 2018 Statement of Financial Position