On March 31, 2021 Holland Industries Purchased Assets for

On March 31, 2021 Holland Industries purchased assets for $ 2,500,000 cash. Before completing the purchase, Holland had an appraisal completed to determine the relative value of each of the assets included in the purchase price.
The appraisal indicated that the fair value of the land, if purchased separately, would be $ 375,000, the building's value is $ 1,900,000, the manufacturing equipment $ 192,500, and the office and computer equipment $ 55,000. In addition to the land, building and equipment, the purchase price includes inventory with a net realizable value of $ 27,500.
The anticipated life of the building is 25 years, the manufacturing equipment 10 years, and the office and computer equipment 5 years, with no residual value for any of them. Holland has a December 31 year end.
Instructions
a) Record the purchase on March 31, 2021.
b) Record the depreciation expense for 2021 using the straight-line method assuming the company chooses to prorate depreciation based on the number of months the asset has been in use.