Star (Pty) Ltd purchased new equipment to replace equipment that it has used for five years. The company paid a net purchase price of R200 000 , brokerage fees of R5 000, legal fees of R2 000 , and freight and insurance in transit of R3000. In addition, the company paid R1500 to remove old equipment and R2000 to install new equipment. Calculate the cost of new equipment for Star (Pty) Ltd and process the journal entry to record the purchase of the equipment paying R70,000 in cash