Question
Orion Flour Mills purchased a new machine and made the following expenditures: Purchase price $ 63,000 Sales tax 5,400 Shipment of machine 880 Insurance on
Orion Flour Mills purchased a new machine and made the following expenditures:
| Purchase price | $ | 63,000 | |
| Sales tax | 5,400 | ||
| Shipment of machine | 880 | ||
| Insurance on the machine for the first year | 580 | ||
| Installation of machine | 1,760 | ||
The machine, including sales tax, was purchased on account, with payment due in 30 days. The other expenditures listed above were paid in cash.
Required:
Record the above expenditures for the new machine
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A New Auditors Guide To Planning Performing And Presenting IT Audits
Authors: Nelson Gibb, CIA, CISA, CISSP, Divakar Jain, CA, CPA, Amitesh Joshi, Surekha Muddamsetti, Sarabjot Singh
1st Edition
0894136852, 978-0894136856
