1. A company purchases a 20,040-square-foot building for $750,000. The building has two separate rental units. Unit A, which has the desirable location on the corner and contains 6,680 square feet, will be rented for $2.00 per square foot. Unit B contains 13,360 square feet and will be rented for $1.50 per square foot. Compute the amount of joint cost that should be allocated to Unit A using the value basis of allocation:

   		$187,500.
   		$487,500.
   		$300,000.
   		$225,000.
   		$450,000.