Saved Check my Required information Problem 8-3A Asset cost allocation; straight-line depreciation LO C1, P1 [The following information applies to the questions displayed bemow.) On January 1, Mitzu Co. pays a lump sum amount of $2,750,000 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 $579,500, with a useful life of 20 years and a $90,000 salvage value. Land improvements 1 is valued at $518,500 and is expected to last another 17 years with no salvage value. The land is valued at $1,952,000. The company also incurs the following additional costs. $ 339,400 193,400 Cost to demolish Building 1 Cost of additional land grading Cost to construct Building 3, having a useful life of 25 years and a $400,000 salvage value Cost of new Land Improvements 2 having a 20-year useful life and no salvage value 2,262,000 178,000 Problem 8-3A Part 1 Saved Homework Help Save & Exit Check Required information 1. Allocate the costs incurred by Mitzu to the appropriate columns and total each column. of 3 Allocation of purchase price Appraised Value Percent of Total Appraised Value Totalsost of acquisition - Apportioned Cost $ Land Building 2 Land Improvements 1 Totals 1,952,000 579,500 518,500 3,050,000 2,750,000 2,750,000 2,750,000 467,500 467,500 $ Land Building 2 Building 3 Land Improvements 1 Land Improvements 2 inces F Purchase Price Demolition Land grading New building (Construction cost) New improvements Totals OS 0S 0S 0S 0