Question
Merry Co. purchased a machine costing $125,000 for its manufacturing operations and paid shipping costs of $20,000. Merry spent an additional $10,000 testing and preparing
manufacturing operations and paid shipping costs of $20,000.
Merry spent an additional $10,000 testing and preparing the machine
for use. What amount should Merry record as the cost of
the machine?
$155,000
$145,000
$135,000
$125,000
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Get StartedRecommended Textbook for
Financial Accounting
Authors: J. David Spiceland, Wayne Thomas, Don Herrmann
3rd edition
9780077506902, 78025540, 77506901, 978-0078025549
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