国 Re Saved Help Save & Exit Submit Check my work Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $410,000. Shipping costs totaled $19,300. Foundation work to house the centrifuge cost $8,900. An additional water line had to be run to the equipment at a cost of $2,200. Labor and testing costs totaled $6,40O. Materials used up in testing cost $3,700. (Leave no cells blank. Enter 0 where needed.) a. What is the total cost of the equipment? Cost of the equipment b. How much of this amount should be expensed immediately? Immediately expensed
国 Re Saved Help Save & Exit Submit Check my work Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $410,000. Shipping costs totaled $19,300. Foundation work to house the centrifuge cost $8,900. An additional water line had to be run to the equipment at a cost of $2,200. Labor and testing costs totaled $6,40O. Materials used up in testing cost $3,700. (Leave no cells blank. Enter 0 where needed.) a. What is the total cost of the equipment? Cost of the equipment b. How much of this amount should be expensed immediately? Immediately expensed
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Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $410,000. Shipping costs totaled $19,300. Foundation
work to house the centrifuge cost $8,900. An additional water line had to be run to the equipment at a cost of $2,200. Labor and
testing costs totaled $6,400. Materials used up in testing cost $3,700. (Leave no cells blank. Enter 0 where needed.)
a. What is the total cost of the equipment?
Cost of the equipment
b. How much of this amount should be expensed immediately?
Immediately expensed
Expert Solution
Step 1
Answer:
a. Calculation of total cost of Equipment:
Cost of Purchase $410,000
Add: Shipping costs $19300
Add: Foundation work $8900
Add: Testing expense (6400+3700) $10100
Cost of the equipment= $448,300
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