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VladimirAG [237]
3 years ago
6

What would be the cost basis of a new machine with a purchase price of $109,000, with transportation costs of $12,000, installat

ion costs of $5,000, and special acquisition fees of $6,000?
Business
1 answer:
Feliz [49]3 years ago
8 0

Answer:

$132,000

Explanation:

The purchase price of the new machine is $109,000

Transportstion cost is $12,000

Installation cost is $5000

Special acquisition fee is $6000

Therefore the cost basis can be calculated as follows

= $109,000 + 12,000 $5,000+ $6000

= $132,000

Hence the cost basis is $132,000

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olga2289 [7]

<u>Assuming that a credit for merchandise returned of $1,000 is granted prior to payment and the invoice is paid within the discount period, the amount of cash that should be received by the seller is (a) $10399</u>

<u />

Explanation:

In the first step we will deduct the credit for merchandised return from the merchandise price

=($11,100-1$000)=$10,100 -------(a)

Then we multiply the result by terms (i.e 1/10=.01)

=($10,100*.01)=$101----------(b)

<u>Then we subtract the result of equation a with equation b</u>

($10,100-$101)=$9,999

Then we add the prepaid freight charges to the result obtained

($9,999+$400)=$10399

<u>Answer: </u>$10399

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Answer:

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