9-1A Real estate costs LO1 On March 31, 2020, Capital Investment Advisers paid $4,600,000 for land with two buildings on it. The plan was to demolish Building 1 and build a new store (Building 3) in its place. Building 2 was to be used as a company office and was appraised at a value of $1,028,720. A lighted parking lot near Building 2 had improvements (Land Improvements 1) valued at $607,880. Without considering the buildings or improvements, the tract of land was estimated to have a value of $3,039,400. Capital incurred the following additional costs: Cost to demolish Building 1 Cost of additional landscaping Cost to construct new building (Building 3) Cost of new land improvements near Building 2 (Land Improvements 2) $ 712,160 273,520 3,242,400 255,200 Required: 1. Allocate the costs incurred by Capital to the appropriate columns and total each column. Land Purchase price Demolition Landscaping New building New improvements Totals Building 2 Building 3 Land Improvements 1 Improvements 2 Land