Determining Cost of Assets Cergo Computers constructed a new training center in 2014, which you have been hired to manage. A review of the accounting records shows the following expenditures debited to an asset account called Training Center:

Attorney's fee, land acquisition $ 34,900 Cost of land 598,000 Architect's fee, building design 102,000 Building 1,020,000 Parking lot and sidewalk 135,600 Electrical wiring, building 164,000 Landscaping 55,000 Cost of surveying land 9,200 Training equipment, tables, and chairs 136,400 Installation of training equipment 68,000 Cost of grading the land 14,000 Cost of changes in building to soundproof rooms 59,200 Total account balance $2,396,300

During the center's construction, an employee of Cergo worked full-time overseeing the project. He spent two months on the purchase and preparation of the site, six months on the construction, one month on land improvements, and one month on equipment installation and training-room furniture purchase and setup. His salary of $64,000 during this ten-month period was charged to Administrative Expense. The training center was placed in operation on November

A. Prepare a schedule with the following four column (account) headings: Land, Land Improvements, Building, and Equipment. Place each of the above expenditures in the appropriate column. Total the columns. If an amount box does not require an entry, leave it blank or enter "0".

B. What impact does the classification of the items among several accounts have on evaluating the profitability performance of the company?