Alcaide Company purchased factory equipment with an invoice price of $70,000. Other costs incurred were freight costs, $1,400; installation of wiring and foundation, $2,200; material and labour costs in testing equipment, $700; oil lubricants and supplies to be used with equipment, $500; fire insurance policy covering equipment, $1,400. The equipment is estimated to have an $8,000 residual value at the end of its 5-year useful service life. Instructions (a) Calculate the acquisition cost of the equipment. Identify each element of cost clearly. (b) If the double declining-balance method of amortization was used, the constant percentage applied to a declining book value would be /8 a V Paragraph ... BI UA oo + 1