Exercise 10-1 Cost of plant assets LO C1

Rizio Co. purchases a machine for $11,100, terms 2/10, n/60, FOB shipping point. Rizio paid within the discount period and took the $222 discount. Transportation costs of $251 were paid by Rizio. The machine required mounting and power connections costing $767. Another $362 is paid to assemble the machine and $40 of materials are used to get it into operation. During installation, the machine was damaged and $350 worth of repairs were made. Complete the below table to calculate the cost recorded for this machine.

Amount Included in Cost of Equipment:
Invoice price of machine
Net purchase price
Total cost to be recorded