John Smith purchased a land and contracted with a builder to build an office building on the property He also engaged other contractors for lighting, fencing, paving, etc Based on the following transactions, determine the total costs allocated to the land, land improvements abd buildings accounts (use the schedule provided) a) b) c) d) Purchased land for $125,000 Paid a contractor $150,000 to design and build the office building Paid a demolition company $20,000 to remove an old structure on the land Paid $15,000 in arrears taxes on the land Paid $20,000 for fencing Paid $10,000 for paving Paid an electrical contractor $15,000 for outdoor lighting f) g) QUESTION 3 answer Cost components Land Land improvements buildings TOTAL COST

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John Smith purchased a land and contracted with a builder to build an office building on the property  He also engaged other contractors for lighting, fencing, paving, etc  Based on the following transactions, determine the total costs allocated to the land, land improvements abd buildings accounts  (use the schedule provided) a) b) c) d) Purchased land for $125,000  Paid a contractor $150,000 to design and build the office building  Paid a demolition company $20,000 to remove an old structure on the land  Paid $15,000 in arrears taxes on the land  Paid $20,000 for fencing  Paid $10,000 for paving  Paid an electrical contractor $15,000 for outdoor lighting  f) g) QUESTION 3   answer Cost components Land Land improvements buildings TOTAL COST

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John Smith purchased a land and contracted with a builder to build an office building on the property. He also engaged other contractors for lighting,

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