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Basket (Lump-sum) Purchases
8. Long Lived Assets / Basket (Lump-sum) Purchases / Problem 5
Problem 5

A company buys land, a building, and equipment in a basket purchase. The land's fair market value is \$100,000, the building's is \$400,000, and the equipment's is \$200,000. What is the total fair market value of the assets?