Concord pet care clinic paid $ 150 comma 000 for a group purchase of land, building, and equipment. at the time of the acquisition, the land had a market value of $ 80 comma 000, the building $ 48 comma 000, and the equipment $ 32 comma 000. journalize the lump-sum purchase of the three assets for a total cost of $ 150 comma 000, the amount for which the business signed a note payable.

The journal entry for the group purchase is:

Dr Land                                           75,000            

Dr Building                                      45,000

Dr Equipment                                  30,000

Cr Note Payable                             150,000

(to record purchase of fixed asset on note payable issuance)                          

Explanation:

We have the total purchasing price will be allocated to Land; Building; Equipment accounts based on their percentage of market values calculated as below:

* Total market value = 80,000 + 48,000 + 32,000 = $160,000.

* Percentage allocated to Land = 80,000/160,000 = 50% => Amount allocated to land = 50% x 150,000 = $75,000.

* Percentage allocated to Building = 48,000/160,000 = 30% => Amount allocated to Building = 30% x 150,000 = $45,000.

* Percentage allocated to Equipment = 32,000/160,000 = 20% => Amount allocated to Equipment = 20% x 150,000 = $30,000.

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.