v I.- :- l-Iun Second payment on new construction $40,000.00 1-]un Insurance premium $2,2 80.00 l-Iun Special tax assessment $4,000.00 30-]un General expenses $ 36,300.00 1-]ul Final payment on new construction $ 30,000.00 3 1-Dec Asset write-up $ 5 3,800.00 $ 399,9 50.00 31-Dec Depreciation - 2 0 15 at 1% $01,000.00} $3 9 5,950.0 3 1-Dec- 15 Account balance 0 The following additional information is to be considered: 1. To acquire land and building, the company paid $80,000 cash and 800 shares of its 8% cumulative preferred stock, par value $100 per share. Fair value of the stock is $117 per share. 2. Cost of removal of old buidlings amounted to $9,800, and the demolition company retained all materials of the building. 3. Legal fees covered the following: l[lost of organization $6 10 Examination of title covering purchase of land $1,300 Legal work in connection with construction contract $ 1 860 Total $ 3 770 4. Insurance premium covered the building for a 2-year term beginning May 1, 2015. 5. The special tax assessment covered street improvements that are permanent in nature. 6. General expenses covered the following for the period from Ianuary 2, 2015 to Iune 30, 2015, President's salary $32,100 Plant superintendent's salary supervision of new building $4,200 Total $3 6,300 7. Because of a general increase in construction costs after entering into the building contract, the board of directors increased the value of the building $53,800, believing that such an increase was justied to reect the current market at the time the building was completed. Retained earnings was credited for this amount. 8. Estimated life of building 50 years. Depreciation for 2015 is 1% of asset value (1% of $400,000 or $4,000) Prepare entries to reect correct land, buildings and depreciation accounts at December 3 1,20155bow how the accounts will be shown on the balance sheet