On January 2, 2018, Parrish Corporation purchased a tract of land (site no. 505) with a building for $2,000,000. Parrish also paid the following fees to complete the purchase:

Real estate broker's commission $75,000

Legal fees25,000

Title insurance40,000

Back taxes (paid to clear a lien)20,000

The closing statement indicated the fair value of the land was $1,700,000 and the building's fair value was $300,000. Immediately after the purchase was finalized, the building was razed for a total cost of $200,000.

On March 1, 2018, Brock entered into a $3,000,000 fixed-price contract with Bob the Builder, Inc. for the construction of an office building on land site #505. The building was completed and occupied on October 31, 2019. Additional construction costs incurred in 2018 are as follows:

Architects fees for building plans and supervision of construction$150,000

Construction plans, specifications, blueprints, permits and inspections130,000

Parrish borrowed $2,500,00 on March 1, 2018 by issuing a note payable to L$L Financial Institution. The note is payable in 10 annual installments of $250,000 plus interest at a rate of 8%. Parrish's weighted average accumulated expenditures for the construction project were as follows:

March 1 - December 31, 2018$1,100,000

January 1 - October 31, 20192,500,000

Parrish estimates that the building will have a 40-year useful life and a salvage value of $200,000. The building will be depreciated using the DDB method. The building is put into use on November 1, 2019.

1.Complete the schedule that shows the individual costs attributed to the Land account (#505).

2.Complete the schedule the shows the individual costs attributed to the Building account.

3.Compute depreciation expense for 2019 and 2020 for the Building.