Initial Valuation on Buildings?

Samtech Manufacturing purchased land and a bullding for $3 milion. In addition to the purchase price, Samtech made the following expenditures in connection with the purchase of the land and buliding An independent appraisai estimated the fair values of the land and buliding. if purchesed separately, at $3 and 51 milition, respectively. Shortly after acquisition, Samtech spent $96,000 to construct a parking lot and $54,000 for landscaping. Required: 1. Determine the initial valuation of each asset Samtech acquired in these transactions. 2. Determine the initial valuation of each asset, assuming that immediately after acquisition, Samtech demolished the building. Demolition costs were $390,000 and the salvaged materiats were sold for $8,000. In addition, Samtech spent $93,000 clearing and grading the land in preparation for the construction of a new bullding Q Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Determine the initial valuation of each asset, assuming that immediately atter acquisition, Samtech demolished the buiding: Demolition costs were $390,000 and the salvaged materlals were sold for $8,000. In addition, Samtech spent $93,000 clearing and grading the land in preparation for the construction of a new bullding. Note: Enter your answers in dollars not in miliens of doliars