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Vijay Inc. purchased a three-acre tract of land for a building site for $250,000. On the...

Vijay Inc. purchased a three-acre tract of land for a building site for $250,000. On the land was a building with an appraised value of $129,000. The company demolished the old building at a cost of $13,000, but was able to sell scrap from the building for $1,670. The cost of title insurance was $800 and attorney fees for reviewing the contract were $570. Property taxes paid were $3,500, of which $290 covered the period subsequent to the purchase date. The capitalized cost of the land is:

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Answer #1
Capitalized cost of the land = 250000+13000-1670+800+570+(3500-290)= $265910
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