Exercise 8-1 Cost of plant assets LO C1

Saved Help Exercise 8-1 Cost of plant assets LO C1 Rizio Co. purchases a machine for $14,500, terms 1/10, n/60, FOB shipping point. Rizio paid within the discount period and took the $145 discount. Transportation costs of $328 were paid by Rizio. The machine required mounting and power connections costing $1,002. Another $473 is paid to assemble the machine and $40 of materials are used to get it into operation. During installation, the machine was damaged and $355 worth of repairs were made. Book Complete the below table to calculate the cost recorded for this machine rint rences Amount Included in Cost of Equipment: Invoice price of machine Less: Discount Net purchase price Assembly Transportation $ 14,500 145 14,355 473 328 Total cost to be recorded 15,156