On March 1, 2027, Sheridan Company acquired real estate, on which it planned to construct a small office building, by paying $83,500 in cash. An old warehouse on the property was demolished at a cost of $8,900; the salvaged materials were sold for $1,840. Additional expenditures before construction began included $1,340 attorney’s fee for work concerning the land purchase, $4,850 real estate broker’s fee, $8,840 architect’s fee, and $14,700 to put in driveways and a parking lot.(a)Determine the amount to be reported as the cost of the land.Cost of land $

A company purchased land for $70,000 cash. Real estate brokers’ commission was $5,000 and $7,000 was spent for demolishing an old building on the land before construction of a new building could start. Under the historical cost principle, the cost of land would be recorded atSelect answer from the options below$82,000.$77,000.$70,000.$75,000.

A company purchased land for P4,500,000 cash. Real estate brokers' commission was P250,000 and P350,000 was spent for demolishing an old building on the land before construction of a new building could start. Under the cost principle, the cost of land would be recorded at

A company purchased property for $100,000. The property included a building, a parking lot, and land. The building was appraised at $60,500; the land at $46,200, and the parking lot at $18,300. Land should be recorded in the accounting records with an allocated cost of:Multiple Choice$42,960.$36,960.$0.$46,200.$100,000.

Pinewood Company purchased two buildings on four acres of land. The lump-sum purchase price was $2,400,000. According to independent appraisals, the fair values were $1,125,000 (building A) and $500,000 (building B) for the buildings and $875,000 for the land.Required:Determine the initial valuation of the buildings and the land.

Merchant Company purchased land for a building site. The costs associated with the property were: Purchase price $ 182,000Real estate commissions 15,700Legal fees 1,500Expenses of clearing the land 2,700What is the total recorded cost of the land?Multiple Choice$201,900$182,000$185,500$199,200$197,700