A Company Acquired Some Land for $80,000 to Construct a New

Multiple Choice

A company acquired some land for $80,000 to construct a new office complex. Legal fees paid were $2,300, delinquent taxes assumed were $3,400, and $5,850 was paid to remove an old building. Materials salvaged from the demolition of the building were sold for $1,950. Determine the cost of the land to be reported on the balance sheet.

A) $93,500
B) $91,550
C) $85,700
D) $89,600