7. A company purchased land for S90,000 cash. Taxes were $5,000 and $7,000 was spent for demolishing an old building on the land before construction of a new building could start. The old building materials were sold for $4,000. Under the cost principle, the cost of land would be recorded at A) $98,000. B) $97,000. ) s102,000. D) $90,000