Firton Brothers purchased a tract of land that included an abandoned warehouse for $90,000. The warehouse was razed and the site was prepared for a new building at a cost of $10,000. Scrap materials from the warehouse were sold for $7,000. A building was then constructed for $140,000, a driveway and parking lot were laid for $32,000, and permanent landscaping was completed for $4,000. Firton Brothers depreciates fixed assets over a 20-year period using the straight-line method. REQUIRED:

a. Compute the amount of cost to be placed in the Land, Land Improvements, and Building accounts.

b. Assuming a salvage value of zero, compute the depreciation expense associated with the items above for the first year.