On March 31, 2014, Kornet Investments paid $4,480,000 for a tract of land and two buildings on it. The plan was to demolish Building 1 and build a new store (Building 3) in its place. Building 2 was to be used as a company office and was appraised at a value of $1,026,080. A lighted parking lot near Building 2 had improvements (Land Improvements 1) valued at $652,960. Without considering the buildings or improvements, the tract of land was estimated to have a value of $2,984,960. Kornet incurred the following additional costs:
Cost to demolish Building 1 .............................................................................. $676,160
Cost of additional landscaping................................................................................ 267,520
Cost to construct new building (Building 3) ...................................................... 3,230,400
Cost of new land improvements near Building 2 (Land Improvements 2) .......... 252,800

Required
1. Prepare a schedule having the following column headings: Land, Building 2, Building 3, Land Improvements 1, and Land Improvements 2. Allocate the costs incurred by Kornet to the appropriate columns and total each column.
2. Prepare a single journal entry dated March 31, 2014, to record all the incurred costs, assuming they were paid in cash on that date.