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Chapter 7 Homework Submit your answers in CANVAS before it is due Use the following to answer questions 1 - 4 ASD Company purchased land as a factory site. An old building on the property was demolished, and construction began on a new building. Costs incurred during the first year are listed below: Land purchased as a factory site 5950.00 Building construction costs 1.500.000 Interest con related to the construction 25.00 Demolition of old building 2.300 Tale investigation of land 2.500 Property taxes on land for the next year 17.500 Architet fees for new building 63.100 Sale af salvaged materials 19,400 1. S How much of the property taxes on the land for the next year" should be capitalized in the Land account? 2. How should the sale of salvaged materials be recorded? A. As an added cost of the land B. As a reduction of the cost of the land C. As an added cost to the building D. As a reduction of the cost of the building 3. $ What amount should be recorded to the Land account? 4. $ What amount should be recorded to the Building account? 8 GOO Dashboard Calendar To Do Notifications Inbox