Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $450,000. Shipping costs totaled $15,400. Foundation work to house the centrifuge cost $9,200. An additional water line had to be run to the equipment at a cost of $3,900. Labor and testing costs totaled $4,200. Materials used up in testing cost $3,500 (Leave no cells blank. Enter O where needed.) Required: 1. What is the total capitalized cost of the equipment? 2. How much of this amount should be expensed immediately? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the total capitalized cost of the equipment? Cost of the equipment Required 2 >

Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $450,000. Shipping costs totaled $15,400. Foundation work to house the centrifuge cost $9,200. An additional water line had to be run to the equipment at a cost of $3,900. Labor and testing costs totaled $4,200. Materials used up in testing cost $3,500 (Leave no cells blank. Enter O where needed.) Required: 1. What is the total capitalized cost of the equipment? 2. How much of this amount should be expensed immediately? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the total capitalized cost of the equipment? Cost of the equipment Required 2 >

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter3: Cost Behavior

Section: Chapter Questions

Problem 13E

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Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $440,000. Shipping costs totaled $12,000. Foundation work to house the centrifuge cost $7,700. An additional water line had to be run to the equipment at a cost of $3,000. Labor and testing costs totaled $4,100. Materials used up in testing cost $3,800. (Leave no cells blank. Enter 0 where needed.) a. What is the total cost of the equipment? b. How much of this amount should be expensed immediately?
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Qu Holiday Laboratories purchased a high speed industrial centrifuge at a cost of $420,000. Shipping costs totaled $15,000. Foundation work to house the centrifuge cost $8,000. An additional water line had to be run to the equipment at a cost of $3,000. Labor and testing costs totaled $6,000. Materials used up in testing cost $3,000. The capitalized cost is: Fin
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