Mee Company acquired land and building for P 5,500,000 cash at the beginning of the current year. The land was fairly valued at P 2,400,000 and the building at P 3,600,000. Unpaid property taxes assumed by Mee Company amounted to P 250,000. The entity also incurred building renovation of P 500,000, option of P 50,000 on land and building not acquired, cost of survey P 30,000, escrow fee of P 100,000 and real estate commission of P 200,000. ____ 3. What is the cost of land? a. 2,420,000 b. 2,450,000 c. 2,470,000 d. 2,500,000 _____4. What is the cost of building? a. 4,160,000 b. 4,130,000 c. 4,070,000 d. 3,800,000