Answer:
Land $120,000
Building$240,000
Equipment$40,000
Step-by-step explanation:
Calculation to Determine the amounts Red Rock should record in the separate accounts for the land, the building, and the equipment.
Asset , Estimated fair value, Allocated percentage, Amount paid , Record amount
Land 150,000 30% $400,000 $120,000
Building 300,000 60% $400,000 $240,000
Equipment 50,000 10% $400,000 $40,000
Total 500,000
RECORDED AMOUNT
Land $120,000
Building$240,000
Equipment$40,000
Total $400,000
Calculation for Allocated percentage
Land: 150,000/500,000= 30%
Building 300,000 /500,000 = 60%
Equipment 50,000 /500,000 = 10%
Therefore the amounts Red Rock should record in the separate accounts for the land, the building, and the equipment are:
Land $120,000
Building$240,000
Equipment$40,000