Below is a list of various expenditures that an organization could make. In the columns marked Land, Building, Equipment and Expensed, indicate by a “+” or “–“ which columns the expenditure would be added to or subtracted from. The first has been done for you.

Item Land Improvement Land Building Equipment Expensed 0. Construction costs (example) +
1. Storage cost of equipment purchased due to the fact that the building was not ready when the equipment was shipped
2. Property taxes in arrears paid on purchase of property
3. Cost of fence and walkway on the property
4. Interest paid during construction of a building.
5. Major overhaul of the equipment to increase its useful life and output quality
6. Cost of tearing down old building on land purchased for factory site
7. Oil change on the company vehicle
8. Donation made by municipality towards construction costs of new Building