Blossom Supply Ltd. is a newly formed public corporation that incurred the following costs related to land, buildings, and machinery: Legal fees for title search $510 Property tax in arrears at property purchase date 5,900 Architect's fees 3,000 Cash paid for land and dilapidated building on it 113,000 Removal of old building $20,100 Less: Salvage 5,470 14,630 Surveying before construction 380 Interest on short-term loans during construction 7,500 Excavation before construction for basement and foundation 19,700 Machinery purchased (subject to 3% cash discount, which was not taken) 65,000 Freight on machinery purchased 1,390 Exchange on foreign currency purchase of machinery 1,200 Storage charges on machinery, made necessary because building was still under construction when machinery was delivered 2,150 New building constructed (building construction took six months from date of purchase of land and old building