Cala Manufacturing purchases land for $$413,000$ as part of its plans to build a new plant. The company pays $$42,300$ to tear down an old building on the lot and $$62,530$ to fill and level the lot. It also pays construction costs of $$1,336,000$ for the new building and $$84,332$ for lighting and paving a parking area.

Prepare a single journal entry to record these costs incurred by Cala, all of which are paid in cash.

Journal entry worksheet

A

Record the total costs of the plant assets.