A company incurred the following costs for a new delivery truck: Purchase price $148,000 Sales tax 9,200 Delivery charge from the seller's location 2,600 Special racks for storage 3,000 Normal repairs to the truck before it was used for the first time 1,800 Repairs after the truck has been used for 9 months 5,000 Extended warranty taken out on the truck 5,900 Signs painted on the truck 2,000 Insurance on the truck before it was used for the first time 5,500 What is the cost of the delivery truck? A. $159,800 B. $172,100 C. $183,000 D. $161,800
A company incurred the following costs for a new delivery truck: Purchase price $148,000 Sales tax 9,200 Delivery charge from the seller's location 2,600 Special racks for storage 3,000 Normal repairs to the truck before it was used for the first time 1,800 Repairs after the truck has been used for 9 months 5,000 Extended warranty taken out on the truck 5,900 Signs painted on the truck 2,000 Insurance on the truck before it was used for the first time 5,500 What is the cost of the delivery truck? A. $159,800 B. $172,100 C. $183,000 D. $161,800
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
A company incurred the following costs for a new delivery truck:
Purchase price $148,000
Sales tax 9,200
Delivery charge from the seller's location 2,600
Special racks for storage 3,000
Normal repairs to the truck before it was used for the first time 1,800
Repairs after the truck has been used for 9 months 5,000
Extended warranty taken out on the truck 5,900
Signs painted on the truck 2,000
Insurance on the truck before it was used for the first time 5,500
What is the cost of the delivery truck?
A. $159,800
B. $172,100
C. $183,000
D. $161,800
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