On March 1, 2018, Jackson Corporation purchased a parcel of land as a factory site for $320,000. An old building on the property was demolished, and construction began on a new building which was completed on December 1, 2018. Costs incurred during this period are listed below:

Demolition of old building $ 20,000

Architect's fees 35,000

Legal fees for purchase contract of land 5,000

Construction costs 1,390,000

(Salvaged materials resulting from demolition were sold for $10,000.)

Jackson should record the cost of the land and new building, respectively, as