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The Crying Onion purchased a parcel of land six years ago for $ 2 9 9 , 5 0 0 . At that time, the

The Crying Onion purchased a parcel of land six years ago for $299,500. At that time, the firm invested $64,000 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 $28,000 a year. The company is now considering building a hotel on the site as the rental lease is expiring. The current value of the land is $355,000. The firm has no loans or mortgages secured by the property. What value should be included in the initial cost of the hotel project for the use of this land?
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$299,500
$355,000
$363,500
$419,000

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