Saved Chapter 10 Homework Part 1 2 Required Information [The following information applies to the questions displayed below) On January 1, Mitzu Co. pays a lump sum amount of $2,800,000 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 $750,000, with a useful life of 20 years and a $85,000 salvage value. Land Improvements 1 is valued at $510,000 and is expected to last another 17 years with no salvage value. The land is valued at $1.740,000. The company also incurs the following additional costs. Part 1 of 3 5 points Skipped Cost to demolish Building 1 Cost of additional land grading Cost to construct Building 3, having a useful life of 25 years and a $400,000 salvage value Cost of new Land Teprovements 2 having a 20-year useful life and no salvage value 5 347,400 189,400 2,102,000 168,000 ebook Print Required: 1. Allocate the costs incurred by Mitzu to the appropriate columns and total each column. References Allocation of purchase price Appraised Value Percent of Total Appraised Value Total cost of acquisition Apportioned Cost X Land Building 2 Land improvements Toto's 5 0% 0 Land Building 2 Building Land Land Improvements Improvements 2 Purchase Price Demolition Landgrading New building Construction cos New improvements Tous 600 Cost of new Land Improvements 2 having a 29-year useful life and no salvage value 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 Hist Journal entry worksheet 3 > Record the cost of the plant assets, paid in cash. Nate:hter Gebits before credits Date General Journal Debit Credit Jan 01 Record ory Chor entry View