A company purchased land for $210,000 cash. Real estate brokers' commission was $15,000 and $21,000 was spent for demolishing an old building on the land before construction of a new building could start. Under the cost principle, the cost of land would be recorded at

A. $231,000
B. $210,000
C. $225,000
D. $246,000

Ans: D. $246,000

Business

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