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Ballyhigh Company purchased equipment for $20,000. Sales tax on the purchase was $1,500. Other costs incurred were freight charges of $400, repairs of $350 for
Ballyhigh Company purchased equipment for $20,000. Sales tax on the purchase was $1,500. Other costs incurred were freight charges of $400, repairs of $350 for damage during installation, and installation costs of $450. What is the capitalizable cost of the equipment?
A) $21,500
B) $21,850
C) $22,350
D) $22,700
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