Wave's Fish House purchases a tract of land and an existing building for $800,000. The company plans to remove the old building and construct a new restaurant on the site. In addition to the purchase price, Wave's pays closing costs, including title insurance of $5,000. The company also pays $12,000 in property taxes, which includes $8,000 of back taxes (unpaid taxes from previous years) paid by Wave on behalf of the seller and $4,000 due for the current fiscal year after the purchase date. Shortly after closing, the company pays a contractor $50,000 to tear down the old building and remove it from the site. Wave's is able to sell salvaged materials from the old building for $5,000 and pays an additional $10,000 to level the land.

Required:

Determine the amount Waves Fish House should record as the cost of the land.