Question
Ayer Self Storage purchased land, paying $ 190,000 cash as a down payment and signing a $ 150,000 note payable for the balance. Ayer also
Ayer Self Storage purchased land, paying $ 190,000 cash as a down payment and signing a $ 150,000 note payable for the balance. Ayer also had to pay delinquent property tax of $ 2,500, title insurance costing $ 1,500, and $ 5 ,000 to level the land and remove an unwanted building. The company paid $ 57,000 to add soil for the foundation and then constructed an office building at a cost of $ 550,000. It also paid $ 51,000 for a fence around the property, $ 10,000 for the company sign near the property entrance, and $ 11,000 for lighting of the grounds. What is the capitalized cost of each of Ayer's land, land improvements, and building?
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