Solution :
a).<u> Amount to be recorded on the books for each of the assets.</u>
Working Allocated cost($)
Land (639,300 / 716,016 )x 136,043 121467
Building (639,300 / 716,016 )x 179,004 159825
Furniture (639,300 / 716,016 )x 400,969 358008
Total 639,300
b). <u>Statement model</u>
Assets : Cash + Land + Building + Furniture
639,300 + 121,467 + 159825 + 358008
Cash flow = 639,300
c). <u>Journal entry</u>
General journal Debit($) Credit($)
Land 121,467
Building 159,825
Furniture 358,008
Cash 639,300
