Wilshire Company Purchased Land for $120,000

Multiple Choice

Wilshire Company purchased land for $120,000.The cost to demolish the existing building and prepare the land for a new building was $16,000.The real estate commission paid to buy the land was $7,200.What amount should be recorded in Wilshire's accounting records for the cost of the land?

A) $143,200
B) $120,000
C) $127,200
D) $136,000