samtech manufacturing purchased land and building for 3 million. In addition to the purchase price samtec made the following expenditures in connection with the purchase of the land and building. Title Insurance 30,000. Legal fees for drawing the contract 7000. Prorated property taxes for the. After acquisition 50,000. State transfer fees 5400. An independent appraisal estimated the fair values of the land and building if purchased separately at 3 and 1 million respectively shortly after acquisition samtec spent 96,000 to construct a parking lot and 54000 for landscaping determine the initial evaluation of each asset assuming that immediately after acquisition samtec demolish the building and the demolition cost for 390,000 and the Salvage materials were sold for 8000. In addition stamp tax spent 93,000 clearing and grading the land in preparation for the construction of a new building