Determine the cost of each asset During 2020, Ajax Company acquired/received the following assets: Land R acquired for P450,000. In addition, to acquire the land, Ajax Company paid a P12,000 commission to a real estate agent. P35,000 were incurred to clear the land. During the course of clearing the land, timber and gravel were recovered and sold for P4,000. Land O was acquired on September 30, 2020 on which a new building will be immediately constructed. The cost related to the acquisition included the following: Cash payment P 1,200,000 Broker's fee 60,000 Option price paid for the land acquired 120,000 Option price for land that was not acquired 90,000 Delinquent property taxes for 2019 that was assumed and paid by Ajax Company 55,000 Property taxes for 2020 to be paid on or before December 31, 2020 90,000 Cost of relocating squatters 30,000 Received from the city government land as an inducement to locate a plant in the city. No payment was required but Ajax Company paid P40,000 of legal costs for land transfer. The fair value of the land was P600,000. Grading and levelling cost totaled P30,000