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A company purchased land for $100,000 cash and a building for $300,000. The appraised values of the land and building are $80,000 and $250,000, respectively.

· A company purchased land for $100,000 cash and a building for $300,000. The appraised values of the land and building are $80,000 and $250,000, respectively. Allocate the cost of the purchase to the land and building using the relative fair value method.

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