On March 1, 2019, Penguin Company (PC)had Been Renting Its

On March 1, 2019, Penguin Company (PC) had been renting its office building for several years and decided to have a new office building constructed. On April 1, 2019, it acquired land with an abandoned warehouse on it for $100,000. Other costs included: $$\begin{array} { | l | r | } \hline \text { Demolition of warehouse } & 20,000 \\\hline \text { Legal fees for purchase of land } & 2,400 \\\hline \text { Construction costs of new building } & 400,000 \\\hline \text { Proceeds from salvage of warehouse materials } & 4,000 \\\hline \text { Installation of wiring and plumbing fixtures } & 16,000 \\\hline \text { Architectural fees } & 24,000 \\\hline\end{array}$$ How much will be capitalized to "building" in fiscal 2019?

A) $380,000
B) $400,000
C) $420,000
D) $440,000