n Set eBook Show Me How Cost of Land Every Company acquired an adjacent lot to construct a new warehouse, paying $45,000 in cash and giving a short-term note for $271,000. Legal fees paid were $1,695, delinquent taxes assumed 0, and fees paid to remove an old building from the land were $21,700. Materials salvaged from the demolition of the building were sold for $4,700. A contractor was paid $960,600 to construct a use. he cost of the land to be reported on the balance sheet. y Work eurred to ready the asset for use are added to the asset account Materials salvaged and sold during the process reduce the cost of the land Ik Previous Next Te 8 33%