Purchase equipment		$
Construction equipment		$

Riverbed 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 2020. Purchase Cash paid for equipment, including sales tax of $6,300 $132,300 Freight and insurance cost while in transit 2,520 Cost of moving equipment into place at factory 3,906 Wage cost for technicians to test equipment 5,040 Insurance premium paid during first year of operation on this equipment 1,890 Special plumbing fixtures required for new equipment 10,080 Repair cost incurred in first year of operations related to this equipment 1,638 Construction Material and purchased parts (gross cost $252,000; failed to take 2% cash discount) $252,000 Imputed interest on funds used during construction (stock financing) 17,640 Labor costs 239,400 Allocated overhead costs (fixed-$25,200; variable-$37,800) 63,000 Profit on self-construction 37,800 Cost of installing equipment 5,544