Dorsey Co. has expanded its operations by purchasing a parcel of land with a building on it from Bibb Co. for $88,000. The appraised value of the land is $28,000, and the appraised value of the building is $92,000.

Assuming that the building is to be used in Dorsey Co.'s business activities, what cost should be recorded for the land?

I thought the recorded for the land should be $28,000 but I am not getting it right, please help and explain how you got the answer