Exercise 10-4

Concord Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2017.

Purchase
Cash paid for equipment, including sales tax of $6,100		$128,100
Freight and insurance cost while in transit		2,440
Cost of moving equipment into place at factory		3,782
Wage cost for technicians to test equipment		4,880
Insurance premium paid during first year of operation on this equipment		1,830
Special plumbing fixtures required for new equipment		9,760
Repair cost incurred in first year of operations related to this equipment		1,586
Construction
Material and purchased parts (gross cost $244,000; failed to take 2% cash discount)		$244,000
Imputed interest on funds used during construction (stock financing)		17,080
Labor costs		231,800
Allocated overhead costs (fixed-$24,400; variable-$36,600)		61,000
Profit on self-construction		36,600
Cost of installing equipment		5,368

Compute the total cost for each of these two pieces of equipment.

Purchase equipment $ _________

Construction equipment $___________