eBook Determining Cost of Land Show Me How On-Time Delivery Company acquired an adjacent lot to construct a new warehouse, paying $44,000 in cash and giving a short-term note for $327,000. Legal fees paid were $1,300, delinquent taxes assumed were $10,000, and fees paid to remove an old building from the land were $17,800. Materials salvaged from the demolition of the building were sold for $5,600. A contractor was paid $1,127,800 to construct a new warehouse. Determine the cost of the land to be reported on the balance sheet.