Talbot and Prescott each contribute $$150,000$ to a partnership that will be organized to purchase and operate an apartment building. After the contributions, the partnership purchases a $$1,000,000$ apartment building with $$930,000$ allocated to the building and $$70,000$ allocated to the land. The purchase is financed by $$200,000$ of cash contributed by the partnership and the partnership obtaining a recourse mortgage of $$800,000$ to finance the remainder of the purchase. Immediately after the purchase of the building, the partnership has the book balance sheet listed below.

ASSETS Liabilities and Capital

Cash $100,000$

Land $70,000$ Liabilities $800,000$

Building $930,000$

$1,100,000$ Capital Accounts

Talbot $150,000$

Prescott $150,000$

Assume the partnership has the book rental income computed below during the first year of operations.

Rental revenue $($all collected$)90000$

Depreciation Expense $-31000$

Other expenses $($all paid$)-39000$

Net Rental Income $20000$

Also assume that the partnership pays $$40,000$ of the principal value of the mortgage.

What is the book value of total assets at the end of Year $1?$

What is the book value of Talbot's capital acccount at the end of year $1?$