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Assume Coffee HouseCoffee House?, ?Inc., opened an office in Grove CityGrove City?, Ohio. Coffee HouseCoffee House incurred the following costs in acquiring? land, making land? improvements, and constructing and furnishing the new sales? building: Assume Coffee HouseCoffee House depreciates buildings over 3030 ?years, land improvements over 2525 ?years, and furniture over 1212 ?years, all on a? straight-line basis with zero residual value.Read the requirements Requirement 2. All construction was complete and the assets were placed in service on AprilApril 2. Record depreciation for the year ended December 31. Round to the nearest dollar. . Requirement 1. Show how to account for each of Coffee House'sCoffee House's costs by listing the cost under the correct account. Determine the total cost of each asset. a.	Purchase price of land, including an old building that will be used
	for a garage (land market value is $325,000; building market
	value is $75,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	$360,000
b.	Grading (leveling) land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	8,800
c.	Fence around the land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	31,900
d.	Attorney fee for title search on the land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	700
e.	Delinquent real estate taxes on the land to be paid by Coffee House . . . . . . .	5,200
f.	Company signs at entrance to the property . . . . . . . . . . . . . . . . . . . . . . . . . . .	1,700
g.	Building permit for the sales building . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	400
h.	Architect fee for the design of the sales building . . . . . . . . . . . . . . . . . . . . . . .	90,980
i.	Masonry, carpentry, and roofing of the sales building . . . . . . . . . . . . . . . . . . .	513,000
j.	Renovation of the garage building . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	45,920
k.	Interest cost on construction loan for sales building . . . . . . . . . . . . . . . . . . . . .	9,500
l.	Landscaping (trees and shrubs) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	6,900
m.	Parking lot and concrete walks on the property . . . . . . . . . . . . . . . . . . . . . . . .	52,500
n.	Lights for the parking lot and walkways . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	7,800
o.	Salary of construction supervisor (84% to sales building; 10%
	to land improvements; and 6% to garage building renovations) . . . . . . . . . . .	43,000
p.	Office furniture for the sales building . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	79,000
q.	Transportation and installation of furniture . . . . . . . . . . . . . . . . . . . . . . . . . . . .	1,000

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