Determine acquisition costs of land and building.

(LO 1), C

Derose Company was organized on January 1. During the first year of operations, the following plant asset expenditures and receipts were recorded in random order.

	Debit
1.	Cost of real estate purchased as a plant site (land $200,000 and building $70,000)	$270,000
2.	Accrued real estate taxes paid at time of purchase of real estate	6,000
3.	Cost of demolishing building to make land suitable for construction of new building	31,000
4.	Cost of filling and grading the land	7,700
5.	Excavation costs for new building	21,900
6.	Architect's fees on building plans	44,000
7.	Full payment to building contractor	629,500
8.	Cost of parking lots and driveways	36,000
9.	Real estate taxes paid for the current year on land	7,300
		$1,053,400
	Credit
10.	Proceeds for salvage of demolished building	$12,700

Instructions

Analyze the transactions using the table column headings provided here. Enter the number of each transaction in the Item column, and enter the amounts in the appropriate columns. For amounts in the Other Accounts column, also indicate the account titles.

Item	Land	Buildings	Other Accounts

Land

$302,000