. Novak Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2025. Purchase Cash paid for equipment, including sales tax of $7,500 Freight and insurance cost while in transit $157,500 3,000 Cost of moving equipment into place at factory 4,650 Wage cost for technicians to test equipment 6,000 Insurance premium paid during first year of operation on this equipment 2,250 Special plumbing fixtures required for new equipment 12,000 Repair cost incurred in first year of operations related to this equipment 1,950 Construction Material and purchased parts (gross cost $300,000; failed to take 2% cash discount) $300,000 Imputed interest on funds obtained from stock financing used during construction 21,000 Labor costs 285,000 Allocated overhead costs (fixed-$30,000; variable-$45,000) 75,000 Profit on self-construction Cost of installing equipment 45,000 6,600