Strike Gold Inc. is a mining company located in southern Arizona. In mid-August 20X1 it begins building its own mining machine. The following are costs, all paid in cash, it incurred in 20X1 with respect to the machine. The machine was finished on September 30, 20X1 and placed into service on October 1.20X1 Costs of parts to be used in the construction of the machine Sales tax paid on the parts to be used in the construction of the machine $100,000 5,000 Freight costs to get the parts to the mine location Insurance costs during the building of the machine Insurance costs on the machine from Oct. 1-Dec. 31 Labor costs incurred in construction the machine Normal maintenance costs for the period Oct 1- Dec. 31 3,000 800 400 18,000 2,000 Calculate the amount at which the machine should be capitalized (e. the historical cost) in the accounting records of Strike Gold Inc. Mutiple Choice $126,800 $126,400 $126.000 $127.200