A company purchasing a piece of land for a contracted price of $110,000. The following additional costs are incurred during the purchase: $3,000 for the closing costs and survey and $5,000 in demolition costs for an existing building (less $1,000 salvage value recovered from the sale of scrap material). Which amount should the company record as the historical cost of the asset at the time of the purchase? $117,000 $110,000 $113,000 $118,000 QUESTION 11 Baker Co. purchased equipment on January 1, 2018 for $30,000. The equipment had zero salvage value and an expected useful life of 5 years. On March 1, 2020, Baker sold the equipment to a customer for $10,000 cash. (Baker last recorded depreciation on 12/31/19). What amount of gain or loss on the disposal of the equipment should baker recognize on March 1, 2020? $8,000 gain on sale $17,000 gain on sale $13,000 loss on sale $7,000 loss on sale