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Please explain in detail and type or write as neatly as you can. PP&E Mandy Manufacturing purchased a machine on August 1, 2014, and it
Please explain in detail and type or write as neatly as you can.
PP&E Mandy Manufacturing purchased a machine on August 1, 2014, and it was installed and ready to run on January 1, 2015. The following costs were incurred in the purchase and installation of the machine. Invoice price $ 1,300,000 Freight costs 7,000 Purchase discount 2,500 Installation costs 66,000 Electrical and power connections 32,000 Repairs to correct damage incurred during uncrating 12,000 Adjustment costs 36,000 Spare parts for future use 25,000 Provincial sales tax 91,000 Fines incurred during the transport and unloading of the machine 500 Cost of special foundation for the machine 6,500 Calculate the depreciable cost of the machineStep by Step Solution
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