Exercise 8-4A (Algo) Determining the cost of an asset LO 8-1 Southwest Miling Company purchased a front-end loader to move stacks of lumber. The loader had a list price of $123,030. The seller agreed to ollow a 4.75 percent discount because Southwest Milling paid cash. Dellvery terms were FOB shipping point. Freight cost amounted to $2,060. Southwest Miling had to hire a specialist to calibrate the loader. The specialist's fee was $830. The loader operator is paid an annual salary of $21,480. The cost of the compony's theft insurance policy increased by $1,770 per year as a result of acquiring the loadec. The loader had a four-year useful life and an expected salvage value of $13,200. Required a. Determine the amount to be capitalized in an asset account for the purchase of the loader. b. Record the purchase in general journal format. Complete this question by entering your answers in the tabs below. Record the purchase in general journal format. (It no entry is required for a transactionvevent, select "No journal entry required" in the first occount field. Round your answers to the neares whole dollat.)