[The following information applies to the questions displayed below.) On January 1, Mitzu Co. pays a lump-sum amount of $2,650,000 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 $780,000, with a useful life of 20 years and a $80,000 salvage value. Land Improvements 1 is valued at $360,000 and is expected to last another 12 years with no salvage value. The land is valued at $1,860,000. The company also incurs the following additional costs. * 2 of 3 $ 348.400 187.400 Cost to demolish Building 1 Cost of additional land grading Cost to construct Building), having a useful life of 25 years and a $400.000 salvage value Cost of new Land Improvements 2 LET having a 20-year useful life and no salvage value 2,302,000 168,000 2. Prepare a single journal entry to record all the incurred costs assuming they are paid in cash on January 1 View transaction list Journal entry worksheet Record the cost of the plant assets, paid in cash. Note: Enter debits before credits Date General Journal Jan 01 1 Debit Credit having a 20-year useful life and no salvage value 168,000 3. Using the straight-line method, prepare the December 31 adjusting entries to record depreciation for the first year these assets were In use. Part of View transaction list Journal entry worksheet Record the year and adjusting entry for the depreciation expense of Building Note: rear dorits before create General Journal Debit Credit Date Dec 31 Record entry Clear entry View general journal Cost of new Land Improvements 2 having a 20-year useful life and no salvage value 168,000 3. Using the straight-line method, prepare the December 31 adjusting entries to record depreciation for the first year these assets w in use. Part 3 of 3 View transaction list Journal entry worksheet