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On 1 March, 2008, Tanger Ltd acquired real estate on which it planned to construct a small office building.The company paid $90,000 in cash. An old warehouse on the property was demolished at a cost of $6,600; the salvaged materials were sold for $1,700. Additional expenditures before construction began included $1,100 attorney's fee for work concerning the land purchase, $5,400 real estate broker's fee, $7,800 architect's fee, and $15,000 to put in driveways and a parking lot.
Determine the amount to be reported as the cost of the land:
Determine the amount to be reported as the cost of the land: