A company incurred the following costs associated with the purchase of a piece of land that it will use to re-build an office building:

Purchase price of the land	$	630,000
Sale of salvaged parts already on land	$	20,000
Demolition of the old building	$	35,000
Ground-breaking ceremony (food and supplies)	$	1,700
Land preparation and leveling	$	7,500

What amount should be recorded for the purchase of the land?

Multiple Choice

• $674,200.

• $654,200.

• $672,500.

• $652,500.