Learning Objective 1: Measure the cost of property, plant, and equipment Land and Land Improvements Problem 1: K Corp purchases land on April 1, 2020 for $60,000 with a note payable. Other costs included $5,000 delinquent property taxes, $2,000 in transfer taxes, $7,000 to remove an old building, and $1,500 for a survey fee. Compute the total cost of the land. Purchase price of the land 60,000 Add related costs: Property Taxes 5,000 Transfer Taxes 2,000 Removal of Building 7,000 Survey Fee ACTIVITY ORA