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Navitron Company purchased equipment with the following costs: Cash price: $75,000 Sales taxes: $3,500 Insurance during transit: $750 Replacement of valve broken during installation: $100
Navitron Company purchased equipment with the following costs:
Cash price: $75,000 Sales taxes: $3,500 Insurance during transit: $750 Replacement of valve broken during installation: $100 Installation and testing: $1,500 Total costs: $80,850
What amount should be recorded as the cost of the equipment?
A) $79,250
B) $80,750
C) $80,850
D) $78,500 [Note: I'm mainly unsure if the replacement of valve broken during installation: $100 should be included]
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