Waterway Company purchased equipment on January 1 at a list price of $121500, with credit terms 2/10, n/30. Payment was made within the discount period and Waterway was given a $2430 cash discount. Waterway paid $6400 sales tax on the equipment, and paid installation charges of $1760. Prior to installation, Waterway paid $3600 to pour a concrete slab on which to place the equipment. What is the total cost of the new equipment? O $133260 O $127230 O $130830 O $125470

Waterway Company purchased equipment on January 1 at a list price of $121500, with credit terms 2/10, n/30. Payment was made within the discount period and Waterway was given a $2430 cash discount. Waterway paid $6400 sales tax on the equipment, and paid installation charges of $1760. Prior to installation, Waterway paid $3600 to pour a concrete slab on which to place the equipment. What is the total cost of the new equipment? O $133260 O $127230 O $130830 O $125470

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Waterway Company purchased equipment on January 1 at a list price of $121500, with credit terms 2/10, n/30. Payment was made
within the discount period and Waterway was given a $2430 cash discount. Waterway paid $6400 sales tax on the equipment, and
paid installation charges of $1760. Prior to installation, Waterway paid $3600 to pour a concrete slab on which to place the
equipment. What is the total cost of the new equipment?
O $133260
O $127230
O $130830
O $125470

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