Required information Problem 8-3A Asset cost allocation; straight-line depreciation LO C1, P1 In January 2017, Mitzu Co. pays $2.600,000 for a tract of land with two buildings on it. It plans to demolish Building 1 and build a new store in its place. Building 2 will be a company office; it is appraised at $644,000, with a useful life of 20 years and a $60,000 salvage value. A lighted parking lot near Building 1 has improvements (Land Improvements 1) valued at $420,000 that are expected to last another 12 years with no salvage value. Without the buildings and improvements, the tract of land is valued at $1,736,000. The company also incurs the following additional costs: Cost to demolish Building 1 Cost of additional land grading cost to construct new building (Building 3), having a usoful life of 25 S 328,400 175, 400 2,202,000 164,000 years and a $392,000 salvage value Cost of new land improvements (Land Improvements 2) near Building 2 having a 20-year useful life and no salvage value Problem 8-3A Part 1 Required 1. Allocate the costs incurred by Mitzu to the appropriate columns and total each column. Total Total Cost of Appraised Al e Pric Prey 8 9 10 of 1Next