Determine the cost of the land, land improvements, and building.
Cost of the land:
Cash paid: $80,000
Note payable: $290,000
Total cost of the land = $80,000 + $290,000
Total cost of the land = $370,000
Cost of land improvements:
Delinquent property tax: $4,000
Title insurance: $5,000
Levelling and removal of the building: $6,000
Fence: $46,000
Sign: $18,000
Special lighting: $8,000
Total cost of land improvements = $4,000 + $5,000 + $6,000 + $46,000 + $18,000 + $8,000
Total cost of land improvements = $87,000