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Timberly Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1,

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Timberly Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1, 2018, at a total cash price of $840,000 for a building, land, land improvements, and four vehicles. The estimated market values of the assets are building. $450,800, land, $266,800, land improvements, $36,800, and four vehicles, $165,600. The company's fiscal year ends on December 31. Required: 1-a. Prepare a table to allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase. 2. Compute the depreciation expense for year 2018 on the building using the straight-line method, assuming a 15-year life and a $28,000 salvage value. 3. Compute the depreciation expense for year 2018 on the land improvements assuming a five-year life and double-declining balance depreciation. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Req3 Prepare a table to allocate the lump sum purchase price to the separate assets purchased. Allocation of total cost Estimated Market Value Percent of Estimated Market x Value Total cost of Acquisition Apportioned Cost Building Land Land improvements Vehicles Total Reg 13 > Timberly Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1, 2018, at a total cash price of $840,000 for a building, land, land improvements, and four vehicles. The estimated market values of the assets are building. $450,800; land, $266,800: land improvements, $36,800; and four vehicles, $165,600. The company's fiscal year ends on December 31. Required: 1-a. Prepare a table to allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase. 2. Compute the depreciation expense for year 2018 on the building using the straight-line method, assuming a 15-year life and a $28,000 salvage value 3. Compute the depreciation expense for year 2018 on the land improvements assuming a five-year life and double-declining balance depreciation Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Reg 2 Reg 3 Prepare the journal entry to record the purchase. View transaction list View journal entry worksheet Date Debit Credit No 1 General Journal No Transaction Recorded Jan 01

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