Question

A company purchased new equipment for $42,000. The company paid cash for the equipment. Other costs associated with the equipment were: transportation costs, $2,300; sales tax paid $3,200; and installation cost, $2,000. The cost recorded for the equipment was:___________

a $12,000.00
b $13,530.00
c $12,600.00
d $13,110.00

Answer 1

Total cost for the equipment=$49.500

Step-by-step explanation:

To get the total cost recorded for the equipment, we will include the cost of the equipment and additional associated costs. The expression is;

Total cost for the equipment=Equipment purchase price+transportation costs+sales tax paid+installation costs

where;

Equipment purchase price=42,000

Transportation costs=2,300

Sales tax paid=3,200

Installation costs=2,000

replacing;

Total cost for the equipment=(42,000+2,300+3.200+2.000)

Total cost for the equipment=$49,500

Answer 2

Total cost recorded will be $49500

None of the bellow option is matched with the answer

Step-by-step explanation:

We have given that a company purchased a new equipment for $42000

The company paid cash for the equipment

Other cost associated with the equipment is

Transportation cost = $2300

Sale tax = $3200

Installation cost = $2000

We have to find the cost recorded for the equipment

The cost recorded for the equipment will be equal to sum of all the cost

So cost recorded = 42000+2300+3200+2000 = $49500

None of the bellow option is matched with the answer