Allocating Payments and Receipts to Fixed Asset Accounts The following payments and receipts are related to land, land improvements, and buildings acquired for use in a wholesale ceramic business. The receipts are identified by an asterisk a. Fee paid to attorney for title search b. Cost of real estate acquired as a plant site: Land Building (to be demolished) C. Delinquent real estate taxes on property, assumed by purchaser d. Cost of razing and removing building acquired in B e. Proceeds from sale of salvage materials from old building 1. Special assessment paid to dity for extension of water main to the property 9. Architect's and engineer's fees for plans and supervision h. Premium on one-year Insurance policy during construction Cost of filling and grading land 1. Money borrowed to pay building contractor k. Cost of repairing windstorm damage during construction Cost of paving parking lot to be used by customers m. Cost of trees and shrubbery planted n. Cost of floodlights installed on parking lot 0. Cost of repairing vandalism damage during construction D. Proceeds from Insurance company for windstorm and vandalism damage 4. Payment to building contractor for new building 1. Interest incurred on building loan during construction 5. Refund of premium on Insurance policy (h) canceled after 11 months $2,900 302,500 28,700 17,000 4,800 2,800 11,300 41,600 4,000 16,600 709,400 5,200 14,400 8,500 1,000 2,300 5,700 756,300 35,500 333 Denned Required: 1. Assign each payment and receipt to Land (unlimited life), Land Improvements (limited life), Building, or Other Accounts. Choose the correct account from the dropdown list for each letter and enter the appropriate amount. Enter receipts as negative amounts using the minus sign Item Account d o o - * - o a 2. Determine the amount debited to Land, Landmarovements, and Building Land and improvements Building los abity to provide services, 3. Since and used as a plant site provide services as time passes and are therefore androvements lose their ability to 4. What would be the effect on the income statement and balance sheet of the cost of ring and grading and 1.600 to than Land? Assume and improvements are deprecated over 20 year life in the doublecling-balance stad t was incorrectly and improvements the