Shelton Company purchased a parcel of land six years ago for $$862,500.$ At that time, the firm invested $$134,000$ in grading the site so that it would be usable. Since the firm wasn't ready to use the site itself at that time, it decided to lease the land for $$48,500$ a year. The company is now considering building a warehouse on the site as the rental lease is expiring. The current value of the land is $$914,000.$ What value should be included in the initial cost of the warehouse project for the use of this land?

Multiple Choice

$$1,048,000$

$$996,500$

$$914,000$

$$0$

$$862,500$