Harding Corporation acquired real estate that contained land, building and equipment. The property cost Harding $1,425,000. Harding paid $350,000 and issued a note payable for the remainder of the cost. An appraisal of the property reported the following values: Land, $370,000; Building, $1,100,000 and Equipment, $730,000.

What value will be recorded for the building?

Multiple Choice

• 1,100,000
• 325,000
• 175,000
• 712,500