Exercise 8-2 Recording costs of assets LO C1 Cala Manufacturing purchases a large lot on which an old building is located as part of its plans to build a new plant. The negotiated purchase price is $194,000 for the lot plus $89,000 for the old building. The company pays $37,900 to tear down the old building and $56,026 to fill and level the lot. It also pays a total of $1,763,721 in construction costs-this amount consists of $1,659.000 for the new building and $104,721 for lighting and paving a parking area next to the building Prepare a single journal entry to record these costs incurred by Cala, all of which are paid in cash View transaction list View journal entry worksheet No Transaction General Journal Debit Credit Land Land improvements Building C Prev1 of 1 Next>