Knowledge Check 01 On January 1, Carmen Industries bought a parcel of land for use in its operations by paying the seller $100,000 in cash and signing a note payable in the amount of $400,000. The note carries a 12% interest rate and is due in five years. In connection with the purchase of the land, Carmen incurred legal fees of $19,000, a real estate agent sales commission of $25,000, surveying fees of $1,000, and an appraisal fee of $5,000. What is the cost of the land? Total cost