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21. The Green Tomato purchased a parcel of land six years ago for $299,500. At that time, the rm invested $64,000 grading the site so
21. The Green Tomato purchased a parcel of land six years ago for $299,500. At that time, the rm invested $64,000 grading the site so that it would be usable. Since the rm wasn't ready to use the site itself at that time, it decided to lease the land for $28,000 a year. The Green Tomato is now considering building a hotel on the site as the rental lease is expiring and can't be renewed. The current value of the land is $355,000. The firm has no loans or mortgages secured by the property. What value should be included in the initial cost of the hotel project for the use of this land? A. $0 B. $299,500 C. $355,000 D. $363,500 E. $419,000
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