On March 31, 2021, Susquehanna Insurance purchased an office building for $12,000,000. Based on their relative fair valu

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On March 31 2021 Susquehanna Insurance Purchased An Office Building For 12 000 000 Based On Their Relative Fair Valu 1 (50.82 KiB) Viewed 49 times

On March 31, 2021, Susquehanna Insurance purchased an office building for $12,000,000. Based on their relative fair values, one-third of the purchase price was allocated to the land and two-thirds to the building. Furniture and fixtures were purchased separately from office equipment on the same date for $1,360,000 and $860,000, respectively. The company uses the straight-line method to depreciate its bulldings and the double-deciining-balance method to depreciate all other depreciable assets. The estimated useful lives and residual values of these assets are as follows: Service Residual Life Value Building 30 10% of cost Furniture and fixtures 10% of cost office equipent $46,000 20 10 Required: Calculate depreciation for 2021 and 2022. (Do not round Intermediate calculations.) Depreciation 2021 2022 Building Furniture and fixtures Onice equipment