On January $1,2026,$ Kohlbeck Corporation purchased a shopping mall for $$8,600,000$ and paid $$50,000$ for the directly attributable cost of acquiring the shopping mall. The shopping mall is for rent and qualifies to be classified as an investment property. The estimated useful life of the shopping mall is $50$ years with no salvage value, and the fair value of the building at the end of $2026$ is $$9,200,000.$

Instructions:

Prepare the journal entries for $2026,$ assuming Kohlbeck uses the cost model for investment property and depreciates on a straight$-$line basis.

Prepare the journal entries for $2026,$ assuming Kohlbeck uses the fair value model for investment property.