Chance Brothers manufactures conveyor belts. Early in July 2013, Chance Brothers constructed its own building at a materials, labor, and overhead cost of $940,000. Chance Brothers paid cash for the construction costs. Chance Brothers also paid for architect fees and building permits of $78,000.

Requirements
1. How much should Chance Brothers record as the cost of the building in 2013?
2. Record Chance Brothers’ transactions related to the construction of the building.