Tamarisk Landscaping began construction of a new plant on December $1,2025.$ On this date, the company purchased a parcer or rand for $$278,000$ in cash. In addition, it paid $$4,000$ in surveying costs and $$8,000$ for a title insurance policy. An old dwelling on the premises was demolished at a cost of $$6,000,$ with $$2,000$ being received from the sale of materials.

Architectural plans were also formalized on December $1,2025,$ when the architect was paid $$60,000.$ The necessary building permits costing $$6,000$ were obtained from the city and paid for on December $1$ as well. The excavation work began during the first week in December with payments made to the contractor in $2026$ as follows.

$\backslash$table$[[$Date of Payment,$],[$March $1,\backslash$table$[[$Amount of Payment$],[$May $1]]480,000],[$July $1,660,000]]$

The building was completed on July $1,2026.$

To finance construction of this plant, Tamarisk borrowed $$1,200,000$ from the bank on December $1,2025.$ Tamarisk had no other borrowings. The $$1,200,000$ was a $10-$year loan bearing interest at $8\%.$

Compute the balance in each of the following accounts at December $31,2025,$ and December $31,2026.$

December $31,2025$

December $31,2026$

a$.$ Land

b$.$ Building

C$.$ Interest expense