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During 2016, Burr Co. made the following expenditures related to the acquisition of land and the construction of a building:
Purchase price of land
$
60,000
Legal fees for contracts to purchase land
2,000
Architects’ fees
8,000
Demolition of old building on site
5,000
Sale of scrap from old building
3,000
Construction cost of new building (fully completed)
350,000
What amounts should be recorded as the initial values of the land and the building?
Land
Building
$64,000
$358,000
$65,000
$362,000
$60,000
$360,000
$62,000
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