Land is purchased for $60,000. Back taxes paid by the purchaser were $2,400, clearing and grading costs were $3,000, fencing costs were $2,500, and lighting costs were $500. What is the cost of the land?

Question

Quizplus · Accepted Answer

To find the cost of the land, we need to add the initial purchase price with all the additional costs. 
Cost of Land = Purchase price + Back taxes + Clearing and grading costs + Fencing costs + Lighting costs 
Cost of Land = $60,000 + $2,400 + $3,000 + $2,500 + $500 
Cost of Land = $68,400 
Therefore, the answer is choice C, $65,400.

Land Is Purchased for $60,000