On march 1, bartholomew company purchased a new stamping machine with a list price of $85,000. the company paid cash for the machine; therefore, it was allowed a 5% discount. other costs associated with the machine were: transportation costs, $2,800; sales tax paid, $6,120; installation costs, $1,750; routine maintenance during the first month of operation, $2,700. the cost recorded for the machine was:

Question

Aaron Sims

Business

22 April, 01:24

On march 1, bartholomew company purchased a new stamping machine with a list price of $85,000. the company paid cash for the machine; therefore, it was allowed a 5% discount. other costs associated with the machine were: transportation costs, $2,800; sales tax paid, $6,120; installation costs, $1,750; routine maintenance during the first month of operation, $2,700. the cost recorded for the machine was:

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Mercedes Reynolds · Answer 1

Answer: (85000 - 5% of 85000) + 2800+6120+1750+2700 = 94120 Explanation : All the costs are included for bringing the stamping machine to the location is included. If there are any charges on damages then that value cannot be added.