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Fresh Veggies, Inc. (FVI), purchases land and a warehouse for $460,000. In addition to the purchase price, FVI makes the following expenditures related to the

Fresh Veggies, Inc. (FVI), purchases land and a warehouse for $460,000. In addition to the purchase price, FVI makes the following expenditures related to the acquisition: broker's commission, $26,000; title insurance, $1,600; and miscellaneous closing costs, $5,400. The warehouse is immediately demolished at a cost of $26,000 in anticipation of building a new warehouse. Determine the amount FVI should record as the cost of the land.

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