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Vaughn Company, a manufacturer of ballet shoes, is experiencing a period of sustained growth. In an effort to expand its production capacity to meet the

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Vaughn Company, a manufacturer of ballet shoes, is experiencing a period of sustained growth. In an effort to expand its production capacity to meet the increased demand for its product, the company recently made several acquisitions of plant and equipment. Rob Joffrey, newly hired in the position of fixed-asset accountant, requested that Danny Nolte, Vaughn's controller, review the following transactions. Transaction 1: On June 1, 2025, Vaughn Company purchased equipment from Wyandot Corporation. Vaughn issued a $29,600, 4year, zero-interest-bearing note to Wyandot for the new equipment. Vaughn will pay off the note in four equal installments due at the end of each of the next 4 years. At the date of the transaction, the prevailing market rate of interest for obligations of this nature was 10%. Freight costs of $463 and installation costs of $550 were incurred in completing this transaction. The appropriate factors for the time value of money at a 10% rate of interest are given below. Transaction 2: On December 1, 2025. Vaughn Company purchased several assets of Yakima Shoes Inc., a small shoe manufacturer whose owner was retiring. The purchase arnounted to $232.000 and included the assets listed below. Vaughn Company engaged the services of Tennyson Appraisal Inc., an independent appraiser, to determine the fair values of the assets which are also presented below. During its fiscal year ended May 31, 2026, Vaughn incurred $7,610 for interest expense in connection with the financing of these assets. Transaction 3: On March 1, 2026, Vaughn Company exchanged a number of used trucks plus cash for vacant land adjacent to its plant site. (The exchange has commercial substance.) Vaughn intends to use the land for a parking lot. The trucks had a combined book value of $35,900, as Vaughn had recorded $21.330 of accumulated depreciation against these assets. Vaughn's purchasing agent, who has had previous dealings in the secondhand market, indicated that the trucks had a fair value of $47.180 at the time of the transaction. In addition to the trucks, Vaughn Company paid $18,000 cash for the land. (b) For each of the three transactions described above, determine the value at which Vaughn Company should record the acquired assets. (Round answers to O decimal places eg. 58,971.) Value Transaction 1$ Transaction 2 Inventory Land Building $ Transaction 3$

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