Riverboat Adventures pays $310,000 plus $15,000 in closing costs to buy out a competitor. The real estate consists of land appraised at $35,000, a building appraised at $105,000, and paddleboats appraised at $210,000. Compute the cost that should be allocated to the land.
A. $93,000.
B. $97,500.
C. $31,000.
D. $32,500.
E. $140,000.
Answer: D
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