Please help, give me a detailed answer to this. Blossom Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types ofequipment were recorded in random order during the calendar year 2025.PurchaseCash paid for equipment, including sales tax of $7,300Freight and insurance cost while in transit$153,3002,920Cost of moving equipment into place at factory4,526Wage cost for technicians to test equipment5,840Insurance premium paid during first year of operation on this equipment2,190Special plumbing fixtures required for new equipment11,680Repair cost incurred in first year of operations related to this equipment1,898ConstructionMaterial and purchased parts (gross cost $292,000; failed to take 2% cash discount)$292,000Imputed interest on funds obtained from stock financing used during construction20,440Labor costs277,400Allocated overhead costs (fixed-$29,200; variable-$43,800)73,000Profit on self-construction43,800Cost of installing equipment6,424(a1) Compute the total cost for each of these two pieces of equipment.Purchase equipment$Construction equipment$

(a1)Computation of the total cost of purchasing equipment: Cost of acquired asset include Purchase…

Answered: Blossom Co. both purchases and…

Principles of Accounting Volume 1

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ISBN:9781947172685

Author:OpenStax

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Chapter11: Long-term Assets

Section: Chapter Questions

Problem 5EA: Steele Corp. purchases equipment for $25,000. Regarding the purchase, Steele recorded the following...

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weet Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2020. Purchase Cash paid for equipment, including sales tax of $6,100 $128,100 Freight and insurance cost while in transit 2,440 Cost of moving equipment into place at factory 3,782 Wage cost for technicians to test equipment 4,880 Insurance premium paid during first year of operation on this equipment 1,830 Special plumbing fixtures required for new equipment 9,760 Repair cost incurred in first year of operations related to this equipment 1,586 Construction Material and purchased parts (gross cost $244,000; failed to take 2% cash discount) $244,000 Imputed interest on funds used during construction (stock financing) 17,080 Labor costs 231,800 Allocated overhead costs (fixed-$24,400; variable-$36,600)…
Pina Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2020. Purchase $117,600 Cash paid for equipment, including sales tax of $5,600 2,240 Freight and insurance cost while in transit 3,472 Cost of moving equipment into place at factory 4,480 Wage cost for technicians to test equipment 1,680 Insurance premium paid during first year of operation on this equipment 8,960 Special plumbing fixtures required for new equipment 1,456 Repair cost incurred in first year of operations related to this equipment Construction Material and purchased parts (gross cost $224,000; failed to take 2% cash discount) $224,000 Imputed interest on funds used during construction (stock financing) 15.680 Labor costs 212,800 28 w MacBook Air 20. F2 F3 F5 F8 F9 F10 F1 2$ & * 4 5 7 9. E T Y U O P { F G H K CV B N M .. # 3
Vaughn Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2020. Purchase Cash paid for equipment, including sales tax of $5,700 $119,700 Freight and insurance cost while in transit 2,280 Cost of moving equipment into place at factory 3,534 Wage cost for technicians to test equipment 4,560 Insurance premium paid during first year of operation on this equipment 1,710 Special plumbing fixtures required for new equipment 9,120 Repair cost incurred in first year of operations related to this equipment 1,482 Construction Material and purchased parts (gross cost $228,000; failed to take 2% cash discount) $228,000 Imputed interest on funds used during construction (stock financing) 15,960 Labor costs 216,600 Allocated overhead costs (fixed-$22,800; variable-$34,200)…
Blue Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2020. Purchase Cash paid for equipment, including sales tax of $6,400 Freight and insurance cost while in transit $134,400 2,560 Cost of moving equipment into place at factory 3,968 Wage cost for technicians to test equipment 5,120 Insurance premium paid during first year of operation on this equipment 1,920 Special plumbing fixtures required for new equipment 10,240 Repair cost incurred in first year of operations related to this equipment 1,664 Construction Material and purchased parts (gross cost $256,000; failed to take 2% cash discount) Imputed interest on funds used during construction (stock financing) $256,000 17,920 Labor costs 243,200 Allocated overhead costs (fixed-$25,600; variable-$38,400) Profit on self-construction Cost of installing equipment 64,000 38,400 5,632 Compute the…
Worf Co. both purchases and constructs various equipment it uses in its operations. The following items for two different types of equipment were recorded in random order during the calendar year 2020. Purchase Cash paid for equipment, including sales tax of $5,000 $105,000 Freight and insurance cost while in transit 2,000 Cost of moving equipment into place at factory 3,100 Wage cost for technicians to test equipment 4,000 Insurance premium paid during first year of operation on this equipment 1,500 Special plumbing fixtures required for new equipment 8,000 Repair cost incurred in first year of operations related to this equipment 1,300 Construction Material and purchased parts (gross cost $200,000; failed to take 2% cash discount) $200,000 Imputed interest on funds used during construction (stock financing) 14,000 Labor costs 190,000 Allocated overhead costs (fixed—$20,000; variable—$30,000) 50,000 Profit on self-construction 30,000…
Dane ASA bothpurchases and constructs various equipment it uses in its operations. The followingitems for two different types of equipment were recorded in random order during thecalendar year 2019. PurchaseCash paid for equipment, including sales tax of €5,000 €105,000Freight and insurance cost while in transit 2,000Cost of moving equipment into place at factory 3,100Wage cost for technicians to test equipment 6,000Insurance premium paid during first year of operation on this equipment 1,500Special plumbing fixtures required for new equipment 8,000Repair cost incurred in first year of operations related to this equipment 1,300ConstructionMaterial and purchased parts (gross cost €200,000; failed to take 1% cashdiscount)€200,000Imputed interest on funds used during construction (share financing) 14,000Labor costs 190,000Allocated overhead costs (fixed—€20,000; variable—€30,000) 50,000Profit on self-construction 30,000Cost of installing equipment 4,400InstructionsCompute the total cost…
This question is aking for journal entry.
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Sheridan Company incurs the following costs in purchasing equipment: invoice price, $40,500; shipping, $1,025; installation and testing, $1,600; one-year insurance policy, $2,750.What is the cost of the equipment?
UMPI Corporation purchased conveyor equipment with a list price of $15,000. Presented below are three independent cases related to the equipment. (Round to the nearest dollar.) Instructions: Prepare the general journal entries required to record the acquisition and payment in each of the independent cases below. 6.1 UMPI paid cash for the equipment 8 days after the purchase. The vendor’s credit terms are 2/10, n/30. Assume that equipment purchases are initially recorded gross. 6.2 UMPI traded in equipment with a book value of $2,000 (initial cost $8,000), and paid $8,500 in cash. The old equipment could have been sold for $1,400 at the date of trade. (The exchange did have commercial substance.) 6.3 UMPI signed an interest-bearing note for the equipment on the date of purchase. The note was due in one year and was paid on time.
Oaktree Company purchased new equipment and made the following expenditures: Purchase price Sales tax Freight charges for shipment of equipment Insurance on the equipment for the first year Installation of equipment The equipment, including sales tax, was purchased on open account, with payment due in 30 days. The other expenditures listed above were paid in cash. Required: Prepare the necessary journal entries to record the above expenditures. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet
On January 2, 2021, Athol Company bought a machine for use in operations. The machine has an estimated useful life of eight years and an estimated residual value of $1,600. The company provided the following information: a. Invoice price of the machine, $71,600. b. Freight paid by the vendor per sales agreement, $900. c. Installation costs, $2,200 cash. d. Cost of cleaning up the supplies, boxes, and other garbage that remained after the installation of the machine, $140 cash. e. Payment of the machine's price was made as follows: January 2: • Issued 1,150 common shares of Athol Company at $4 per share. • Signed a $39,000 note payable due April 16, 2018, plus 8 percent interest. • Balance of the invoice price to be paid in cash. The invoice allows for a 2 percent cash discount if the cash payment is made by January 11. January 15: Paid the balance of the invoice price in cash. April 16: Paid the note payable and interest in cash. f. On June 30, 2023, the company completed the…

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