Zed’s Manufacturing incurred the following costs in acquiring land, making land improvements, and constructing and furnishing a new building.

Zed’s Manufacturing depreciates buildings over 50 years, land improvements over 25 years, and furniture over 12 years, all on a straight-line basis with zero residual value.
Requirements 1. Set up columns for Land, Land Improvements, Building, and Furniture. Show how to account for each cost by listing the cost under the correct account. Determine the total cost of each asset.
2. All construction was complete and the assets were placed in service on November 1. Record partial-year depreciation for the year ended December 31. (Round to the nearest dollar.)

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a. Purchase price of four acres of land....... b. Additional dirt and earthmoving.......... c. Fence around the boundary of the property.. $192,000 8,800 16,200 d. Attorney fee for title search on the land....... f. Company signs at the front of the property. g. Building permit for the building................. 1,100 e. Unpaid property taxes on the land to be paid by Zed's. 6,300 5,000 700 h. Architect's fee for the design of the building. i. Labor to construct the building....... j. Materials used to construct the building k. Landscaping........... 24,100 691,000 217,000 6,600 1. Parking lot and concrete walks........... 28,700 m. Lights for the parking lot and walkways. 10,700 n. Salary of construction supervisor (85% to building; 15% to parking lot and concrete walks) 80,000 0. Furniture for the building............. 106,100 p. Transportation and installation of furniture. 2,300