he following cases are independent.

Case A Starling Ltd. bought a building for $1,680,000. Before using the building, the following expenditures were made:

Repair and renovation of building	$	166,000
Construction of new paved driveway		36,400
Upgraded landscaping		4,250
Wiring		23,400
Deposits with utilities for connections		2,525
Sign for front and back of building, attached to roof		17,700
Installation of fence around property		12,550

Case B Lark Company purchased a $35,500 tract of land for a new manufacturing facility. Lark demolished an old building on the property and sold the materials it salvaged from the demolition. Lark incurred additional costs and realized salvage proceeds as follows:

Demolition of old building	$	32,900
Routine maintenance (mowing) done on purchase		2,525
Proceeds from sale of salvaged materials		12,150
Legal fees		12,700
Title guarantee insurance		5,675

Required: 1. What balance would Starling report in the building account?

2. What balance should Lark report in the land account? What balance should Starling report in the Land improvements account?