Answer:
$99,500
Step-by-step explanation:
A capitalized cost is an expense that is added to the cost basis of a fixed asset
They are incurred when building or purchasing fixed assets.
The cost of land based on the data given is calculated as follows
Cost of land = Purchase price 90,000 + Broker's commission 7,500
+ Payment for demolition 2,500 - Sale of scrap. 500
Cost of land = $99,500