Final answer:
To record the expenditures for Rochester Flour Mills, create journal entries for each expense category and debit the Equipment account while crediting the Cash account.
Step-by-step explanation:
To record the expenditures for Rochester Flour Mills, we will create journal entries for each expense category.
For the purchase price of $70,000, we will debit the Equipment account and credit the Cash account.
For the sales tax of $5,750, we will debit the Equipment account and credit the Cash account.
For the shipment of equipment of $950, we will debit the Equipment account and credit the Cash account.
For the insurance on the equipment for the first year of $650, we will debit the Equipment account and credit the Cash account.
For the installation of equipment of $1,900, we will debit the Equipment account and credit the Cash account.