Response to the following problem:
A building with an assessed value of $70,000 for property tax purposes is offered for sale at 595,000. The building is acquired by a business firm for $32,000 cash and the balance in the form of 2-year noninterest-bearing note. The real estate brokerage fee is 5% of the selling price. Legal fees for the contract and closing are $2,500. Determine the cost of the building to be recorded on the book" of the purchaser.