RT Inc. purchased a tract of land for use as a factory site. The purchase price was $780,000. RT also incurred the following costs: Cost to raze old building ($70,000), legal fees related to the purchase contract ($10,000), and proceeds from the sale of salvaged materials ($8,000). What amount should be reported as the cost of the land? Do not enter any punctuation (i.e. no dollar sign, no commas).

RT Inc. purchased a tract of land for use as a factory site. The purchase price was $780,000. RT also incurred the following costs: Cost to raze old building ($70,000), legal fees related to the purchase contract ($10,000), and proceeds from the sale of salvaged materials ($8,000). What amount should be reported as the cost of the land? Do not enter any punctuation (i.e. no dollar sign, no commas).

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter13: Property Transactions: Determination Of Gain Or Loss, Basis Considerations, And Nonta Xable Exchanges

Section: Chapter Questions

Problem 85P

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