The Patty Company purchased a piece of office equipment to be used in operations. The following expenditures and other data relate to the equipment:
|
Invoice price excluding sales tax |
$12,000 |
|
Sales tax |
600 |
|
Delivery charges |
200 |
|
Installation costs |
300 |
|
Cost of a special platform |
400 |
|
Cost of supplies used in testing |
80 |
|
Insurance premium for first year of use |
60 |
The total acquisition cost of this piece of equipment is:
- $13,640.
- $13,580.
- $13,100.
- $12,700.