The Gap, Inc. purchases a building for a new store. The building's current owner is asking $600,000 for the building. The management of GAP, Inc., believes the building is worth $585,500 and offers the present owner that amount. Two real estate professional appraise the building at $610,000. The buyer and the seller compromise and agree on a price of $590,000 for the building. How should Gap, Inc. initially report the building on its financial statement? $590,000. $585,500. $600,000.