The following information applies to the questions displayed below.] In January 2015, Keona Co. pays $2750,000 for a tract of land with two buildings on it. It plans to demolish Building 1 and build a new store in its place. Building 2 will be a company office: it is appralsed at $660,000, with a useful life of 20 years and an $90,000 residual value. A lighted parking lot near Building 1 has improvements (Land Improvements 1) valued at $480,000 that are expected to last another 16 years with no residual value. Without the buildings and improvements, the tract of land is valued at $1,860,000. The company also incurs the following additional costs: Cost to demolish Building 1 Cost of additional land grading Cost to construct new building (Building 3), having a useful life of 25 years and a $400,000 residual value Cost of new land improvements (Land Improvements 2) near Building 2 having a 20-year useful life and no residual value $ 344,400 187,400 2,282,000 173,000 value 10.00 points Required: 1. Allocate the costs incurred by Keona to the appropriate columns and total each column. (Leave no cells blank-be certain to enter"" wherever required. Omit the "$" sign in your response.) Land improvements 1 Land Land Building 2 Purchase price Demolition Land grading New building New improvements $ Totals value 10.00 points 3. Using the straight-line method, prepare the December 31 adjusting entries to record depreciation for the 12 months of 2015 when these assets were in use. (Omit the "$" sign in your response.) Date Dec. 31 General Joumal Debit Credit (Click to select) (Click to select) (Click to select) Click to select) Click to select) (Click to select) (Click to select) (Click to select) value 20.00 points Chen Company completed the following transactions and events involving its delivery trucks. 2014 Jan. 1 Paid $25,015 cash plus $1,485 in sales tax for a new delivery truck estimated to have a five-year life and a $2,300 residual value. Delivery truck costs are recorded in the Trucks account. Dec. 31 Recorded annual straight-line depreciation on the truck. 2015 Dec. 31 Due to new information obtained earlier in the year, the truck's estimated useful life was changed from five to four years, and the estimated residual value was increased to $2,550. Recorded annual straight-line depreciation on the truck 2016 Dec. 31 Recorded annual straight-line depreciation on the truck. Dec. 31 Sold the truck for $5,500 cash. value 20.00 points A machine costing $206,400 with a four-year life and an estimated $16,000 residual value is installed in Calhoon Company's factory on January 1. The factory manager estimates the machine will produce 476,000 units of product during its life. It actually produces the following units: year 1, 122,600; year 2, 122,600; year 3, 120,300; and year 4, 116,900. The total number of units produced by the end of year 4 exceeds the original estimate-this difference was not predicted. (The machine must not be depreciated below its estimated residual value.) Required Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method. (Do not round your intermediate calculations. Omit the "$" sign in your response Units of Production Double declining balance YearStraight-Line 2 Totals$ The following information applies to the questions displayed below. Saturn Co. purchases a used machine for $288,000 cash on January 2 and readies it for use the next day at an $8,000 cost. On January 3, it is installed on a required operating platform costing $1,600, and it is further readied for operations. The company predicts the machine will be used for six years and have a $34,560 residual value. Depreclation is to be charged on a straight-ine basis. On December 31, at the end of its fifth year in operations, it is disposed of. 6 value 10.00 points Required 1. Prepare journal entries to record the machine's purchase and the costs to ready and install it. Cash is paid for all costs incurred. (Omit the "$" sign in your response.) Date General Journal Debit Credit Machinery purchase cost (Click to select) Jan. 2 (Click to select) Preparation cost (Click to select) Jan. 3 (Click to select) Operating platform cost (Click to select) Jan. 3 (Click to select) value: 0.00 points 2. Prepare journal entries to record depreciation of the machine at December 31. (Omit the "$" sign in your response.) (a) Its first year in operations. General Journal Date Dec. 31 Debit Credit (Click to select) (Click to select) (b) The year of its disposal. Date Dec. 31 General Journal Debit Credit (Click to select) (Click to select) value 10.00 points 3. Prepare journal entries to record the machine's disposal under each of the following separate assumptions Omit the "$" sign in your response): (a) It is sold for $20,000 cash. Credit Date Dec 31 General Journal Debit k to select Click to select k to select Click to select (b) It is sold for $80,000 cash. Date Dec. 31 General Journal Credit (Click to select k to select Click to select) (Click to s (c) It is destroyed in a fire and the insurance company pays $30,500 cash to settle the loss claim. Date Dec. 31 General Journal Credit (Click to select) k to select Click to select (Click to select)