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asambeis [7]
3 years ago
10

Which of the following should be included in the acquisition cost of a piece of equipment? installation costs transportation cos

ts testing costs prior to placing the equipment into production All of these choices are correct.
Business
1 answer:
AveGali [126]3 years ago
8 0

Answer: All of these choices are correct.

Explanation:

Acquisition cost is the total amount of money incurred in purchasing an asset. The acquisition cost should include all the expenses that are incurred such as:

• installation costs

• transportation costs

• testing costs prior to placing the equipment into production

Therefore, the correct option is "All of the above".

You might be interested in
On January 1, 2021, Kendall Inc. began construction of an automated cattle feeder system. The system was finished and ready for
beks73 [17]

Answer:

The correct answer is "$21490".

Explanation:

The given expenditures are:

January:

= $205000

September:

= $306000

December:

= $306000

Now,

January average will be:

= 205000\times \frac{12}{12}

= 205000 ($)

September average will be:

= 306000\times \frac{4}{12}

= 102000

December average will be:

= 306000\times \frac{0}{12}

= 0

The total average will be:

= 205000+102000+0

= 307000 ($)

Hence,

The Interest capitalized for year 2021 will be:

= Interest \ rate\times Weighted \ average

On substituting the estimated values, we get

= 7 \ percent\times 307000

= 21490 ($)

3 0
3 years ago
Jacoby Company received an offer from an exporter for 25,400 units of product at $18 per unit. The acceptance of the offer will
OlgaM077 [116]

Answer:

Differential income from the special order= $127,000

Explanation:

A company should accept a special order where the order generates additional contribution. i.e where the special order sales exceeds all relevant cost.

The relevant cost for decision to accept the special order are  

I Incremental Revenue from the special order  

2. incremental variable cost

Contribution per unit = 18-13=5

Total contribution from special order = contribution per unit × units

                                                      = 5× 25,400=$127,000

Differential income from the special order= $127,000

Note that whether or not the special order is accepted the fixed manufacturing and fixed operating expenses of would be incurred either way. Therefore , they are not relevant for the decision

6 0
3 years ago
You just invested $1000 in an account that returns 5% per year. After 50 years, when you are old and gray, what will be the valu
nikitadnepr [17]
Jahsjsjshsnsjdjjshsnananaa
3 0
3 years ago
Read 2 more answers
Adam was unable to finish high school because he needed to go to work to help his family financially. what type of influence doe
juin [17]

Adam was unable to finish high school because he needed to go to work to help his family financially. This forms a Non-formative type of influence

This is further explained below.

<h3>What is a Non-formative type of influence?</h3>

Generally, The term "nonnormative effects" refers to those that do not affect each member of a set in the same manner. Nonnormative suggests it does not affect everyone in the same way in the culture, while normative suggests it does (or not at all).

In conclusion,  Adam dropped out of school before he could graduate from high school because he had to start earning money to support his family. This is an example of a non-formative impact.

Read more about the Non-formative type of influence

brainly.com/question/6912636

#SPJ1

4 0
2 years ago
On June 25, Ritts Roofing extended an offer of $250,000 for land that had been priced for sale at $300,000. On July 9, Ritts acc
Kisachek [45]

Answer:

$275,000

Explanation:

The computation of the value that should the land be recorded is shown below:

= Value at which rits accepted the counteroffer of the seller

= $275,000

Hence, the alue that should the land be recorded is $275,000

Basically it records the cost value as per the cost concept

The same should be considered

3 0
3 years ago
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