Skysong co. purchased land as a factory site for $576,000. the process of tearing down two old buildings on the site and constructing the factory required 6 months. the company paid $60,480 to raze the old buildings and sold salvaged lumber and brick for $9,072. legal fees of $2,664 were paid for title investigation and drawing the purchase contract. skysong paid $3,168 to an engineering firm for a land survey, and $97,920 for drawing the factory plans. the land survey had to be made before definitive plans could be drawn. title insurance on the property cost $2,160, and a liability insurance premium paid during construction was $1,296. the contractor’s charge for construction was $3,945,600. the company paid the contractor in two installments: $1,728,000 at the end of 3 months and $2,217,600 upon completion. interest costs of $244,800 were incurred to finance the construction.