Sean purchases land for $775,000. He incurs legal fees of $15,000 and broker's commission of $42,000 associated with the purchase. He subsequently incurs additional legal fees of $37,500 in having the land rezoned from agricultural to residential. He subdivides the land and installs streets and sewers at a cost of $1,200,000. What is Sean's basis for the land and the improvements? a. $2,077,500 b. $2,067,000 c. $2,025,000 d. $2,119,500 e. None of the choices presented are correct