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Question - Self Storage purchased land, paying $155,000 cash as a down payment and signing a $165,000 note payable for the balance. Pawtucket also had to pay delinquent property tax of $5,000, title insurance costing $1,500, and $3,000 to level the land and remove an unwanted building. The company paid $55,000 to add soil for the foundation and then constructed an office building at a cost of $950,000. It also paid $49,000 for a fence around the property, $13,000 for the company sign near the property entrance, and $2,000 for lighting of the grounds.
Required -
1. Determine the cost of the land?
2. Determine the cost of the land improvements?
3. Determine the cost of the building?
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