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Determine the amounts Fullerton should capitalize

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Question - Fullerton Waste Management purchased land and a warehouse for $790,000. In addition to the purchase price, Fullerton made the following expenditures related to the acquisition: broker's commission, $49,000; title insurance, $12,500; miscellaneous closing costs, $15,500. The warehouse was immediately demolished at a cost of $37,000 in anticipation of the building of a new warehouse. Determine the amounts Fullerton should capitalize as the cost of the land and the building.

Reference no: EM133110393

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