HW #9 eBook Print Item The following payments and receipts are related to land, land improvements, and buildings acquired for use in a wholesale ceramic business. The receipts are identified by an asterisk Fee paid to attorney for title search $3,000 b. Cost of real estate acquired as a plant site: Land 285,000 Building (to be demolished) 50,000 e Delinquent real estate taxes on property, assumed by purchaser 15,000 d. Cost of razing and removing building acquired in (b) 4,000 Proceeds from sale of salvage materials from old building 4,000* f. Special assessment paid to city for extension of water main to the property 30,000 g. Architect's and engineer's fees for plans and supervision 50,000 h. Premium on 1-year insurance policy during construction 7,000 Cost of filling and greading land 13,000 3. Money borrowed to pay building contractor 500,000 k. Cost of repairing windstorm damage during construction 5,000 Cost of paving parking lot to be used by customers 33,000 m. Cost of trees and shrubbery planted 12,000 Cost of floodlights installed on parking lot 3,000 Cost of repairing vandalism damage during construction 2,500 Payment to building contractor for new building p. Proceeds from insurance company for windstorms and vandalism damage i Interest incurred on building loan during construction Refund of premium on insurance policy (h) canceled after 11 months Required 34,000 400 8,000+ 500,000