Reference no: EM132724590

Land and Building Cost The following expenditures were incurred by Lyon Enterprises Co. in 2019:

Purchase of land P 3,900,000

Land Survey 52,000

Fees for search of title for land 6,000

Building permit 35,000

Temporary quarters for construction crews 107,500

Payment to tenants of old building for vacating the premises 46,000

Razing old building 470,000

Excavating basement 100,000

Special assessment tax for street project 20,000

Dividends 50,000

Damages awarded for injuries sustained in construction 84,000

Cost of construction 29,000,000

Cost of paving parking lot adjoining building 400,000

Cost of shrubs, trees, and other Landscaping 330,000

Required:

Problem 1. Among the expenditures mentioned, determine the cost of land.

Problem 2. Among the expenditures mentioned, determine the cost of the building.