Question
Consider the following facts: New equipment was purchased by Company A at a list price of $98,000, with credit terms of 2/10, n/30. Payment was
Consider the following facts: New equipment was purchased by Company A at a list price of $98,000, with credit terms of 2/10, n/30. Payment was made within the discount period and included $7,840 sales tax, in addition to the net purchase price. Company A also paid delivery charges of $990 and labor costs of $1,500 for installing the new equipment at the appropriate location. During installation, an inexperienced employee punctured several containers with a forklift, causing damage to the equipment. Cost to repair the damage was $2,460. What is the total cost of Company A's equipment?
a. $108,330
b. $103,910
c. $108,830
d. $106,370
e. None of these answers are correct
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