TB EX Qu. 7-195 Taco Hut purchased equipment on May... Taco Hut purchased equipment on May 1, 2021, for $16,000. Residual value at the end of an estimated eight-year service life is expected to be $2,000. Calculate depreciation expense using the straight-line method for 2021 and 2022, assuming a December 31 year- end. (Do not round your intermediate calculations. Round your final answers to the nearest whole dollar.) Year Depreciation Expense 2021 2022 A company incurred the following costs associated with the purchase of a piece of land that it will use to re-build an office building: Purchase price of the land Sale of salvaged parts already on land Demolition of the old building Ground-breaking ceremony (food and supplies) Land preparation and leveling $ $620,000 20,000 $ 39,000 $ 2,600 $ 7,900 What amount should be recorded for the purchase of the land? Multiple Choice O $669,500. O $649,500. $646,900. $666,900