1. Indicate whether each of the following expenditures should be classified as land (L), land improvements (LI), buildings (B), equipment (E), or none of these (X).

1. Parking lots

2. Electricity used by a machine

3. Interest on building construction loan

4. Cost of trial runs for machinery

5. Drainage costs

6. Cost to install a machine

7. Fences

8. Unpaid (past) property taxes assumed

9. Cost of tearing down a building when land and a building on it are purchased