Accounting · Capital and Revenue Expenditure

A heavy engineering firm is acquiring a plot of land for a new foundry. The negotiated purchase price is Rs 10,00,00,000. The firm incurs the following additional costs: Rs 80,00,000 for stamp duty and registration, Rs 5,00,000 for a legal title search, Rs 15,00,000 for leveling the land and removing old hazardous waste, and Rs 12,00,000 for constructing a boundary wall. To fund the purchase, the firm takes a loan and pays Rs 8,00,000 in loan processing fees. Additionally, the seller had unpaid property taxes of Rs 4,00,000 for the previous three years, which the buyer agreed to pay as part of the deal. Finally, a Rs 2,00,000 fee was paid to a real estate broker. Calculate the final value of the land in the books of accounts.