Erin Danielle Company purchased equipment and incurred the following costs.
|
Cash price |
$24,000 |
|
Sales taxes |
1,200 |
|
Insurance during transit |
200 |
|
Installation and testing |
400 |
|
Total costs |
$25,800 |
What amount should be recorded as the cost of the equipment?
(a)$24,000.
(b)$25,200.
(c)$25,400.
(d)$25,800.