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Harrison Company purchased a new machine for $10,000. Harrison was charges 6% sales tax; shipping costs were $1,000 and the annual maintenance contract will cost

Harrison Company purchased a new machine for $10,000. Harrison was charges 6% sales tax; shipping costs were $1,000 and the annual maintenance contract will cost $700. What is the total cost that should be capitalized?

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$10,600

$12,600

$11,300

$11,600

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