required information\nknowledge check 01\non january 1 coopers industries bought a parcel of land for use in…

required information\nknowledge check 01\non january 1 coopers industries bought a parcel of land for use in its operations by paying the seller $100,000 in cash and signing a 5 - year, 12 percent note payable in the amount of $400,000. in connection with the purchase of the land, coopers incurred legal fees of $19,000, a real estate agent sales commission of $25,000, surveying fees of $1,000, and an appraisal fee of $5,000. the acquisition cost of the land is\n$131,000\n$150,000\n$531,000\n$550,000

required information\nknowledge check 01\non january 1 coopers industries bought a parcel of land for use in its operations by paying the seller $100,000 in cash and signing a 5 - year, 12 percent note payable in the amount of $400,000. in connection with the purchase of the land, coopers incurred legal fees of $19,000, a real estate agent sales commission of $25,000, surveying fees of $1,000, and an appraisal fee of $5,000. the acquisition cost of the land is\n$131,000\n$150,000\n$531,000\n$550,000

Answer

Explanation:

Step 1: Sum cash payment and note payable

$100,000 + 400,000$

Step 2: Add all related purchase costs

$500,000 + 19,000 + 25,000 + 1,000 + 5,000$

Answer:

D. $550,000$