Question: A firm made the following expenditures in connection with the construction of its new building:
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Architect's fees for the new building................................
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$12,000
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Cash-paid for land and run-down building of the land.........
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300,000
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Removal of old building....................................................
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18,000
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Salvage from sale of old building materials......................
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(4,000)
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Construction survey to site the new building...................
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1,500
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Legal fees for the title search...........................................
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3,000
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Excavation for the basement construction..................
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25,000
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Machinery purchased for operations..................................
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100,000
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Storage charges on machinery because building was not ready when machinery was delivered..........................................
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900
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Freight in machinery purchased..................................
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1,600
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Hauling charges to delivery machinery from storage to new building.........................................................................
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300
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Construction costs of new building................................
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1,000,000
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Landscaping...................................................................
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20,000
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Installation of machinery.................................................
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2,500
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Make a schedule showing the amounts to be recorded as Land, Buildings, and Machinery.