Question: Fullerton Waste Management purchased land and storage for $680,000. In addition to the purchase price, Fullerton incurred the following acquisition-related expenses: broker's commission, $38,000; title
Fullerton Waste Management purchased land and storage for $680,000.
In addition to the purchase price, Fullerton incurred the following acquisition-related expenses:
broker's commission, $38,000;
title insurance, $7,000;
miscellaneous closing costs, $10,000.
The warehouse was immediately demolished at a cost of $26,000 in anticipation of the construction of a new warehouse.
Determine the amount Fullerton must capitalize as the cost of the land and the building
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