Southwest Milling Company purchased a front$-$end loader to move stacks of lumber. The loader had a list price of $$116,170.$ The seller agreed to allow a $4\mathrm{.}75$ percent discount because Southwest Milling paid cash. Delivery terms were FOB shipping point. Freight cost amounted to $$2,400.$ Southwest Milling had to hire a specialist to calibrate the loader. The specialist$$s fee was $$1,240.$ The loader operator is paid an annual salary of $$28,730.$ The cost of the company$$s theft insurance policy increased by $$1,800$ per year as a result of acquiring the loader. The loader had a four$-$year useful life and an expected salvage value of $$9,000.$

Required

a$.$ Determine the amount to be capitalized in an asset account for the purchase of the loader.

b$.$ Record the purchase in general journal format.