Addams Co. purchased land as a factory site for $900,000. Addams paid $80,000 to tear down two buildings on the land. Salvage was sold for $5,400. Legal fees of $3,480 were paid for title investigation and making the purchase. Architect's fees were $31,200. Title insurance cost $2,400, and liability insurance during construction cost $2,600. Excavation cost $10,440. The contractor was paid $2,800,000. An assessment made by the city for pavement was $6,400. Interest costs during construction were $170,000.
The cost of the building that should be recorded by Addams Co. is
A) $3,014,240
B) $2,803,800
C) $2,813,200
D) $2,804,840
