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Plant acquisitions for selected companies are as follows. 1. Splish Industries Inc. acquired land, buildings, and equipment from a bankrupt company, Torres Co., for a lump-sum price of $1,036,000. At the time of purchase, Torress assets had the following book and appraisal values.

		Book Values			Appraisal Values
Land		$296,000			$222,000
Buildings		370,000			518,000
Equipment		444,000			444,000

To be conservative, the company decided to take the lower of the two values for each asset acquired. The following entry was made.

Land		222,000
Buildings		370,000
Equipment		444,000
Cash				1,036,000

2. Blossom Enterprises purchased store equipment by making a $2,960 cash down payment and signing a 1-year, $34,040, 10% note payable. The purchase was recorded as follows.

Equipment		40,404
Cash				2,960
Notes Payable				34,040
Interest Payable				3,404

3. Blue Company purchased office equipment for $18,400, terms 2/10, n/30. Because the company intended to take the discount, it made no entry until it paid for the acquisition. The entry was:

Equipment		18,400
Cash				18,032
Purchase Discounts				368

4. Kingbird Inc. recently received at zero cost land from the Village of Cardassia as an inducement to locate its business in the Village. The appraised value of the land is $39,960. The company made no entry to record the land because it had no cost basis. 5. Oriole Company built a warehouse for $888,000. It could have purchased the building for $1,095,200. The controller made the following entry.

Buildings		1,095,200
Cash				888,000
Profit on Construction				207,200

Prepare the entry that should have been made at the date of each acquisition. (Do not round intermediate calculations and final answers to 0 decimal places e.g. 58,971. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)

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