Phoenix Co acquired a large piece of specialized machinery used
Phoenix Co. acquired a large piece of specialized machinery used in its manufacturing process. The following costs were incurred in connection with the acquisition:
Finder’s fee ............... $ 2,000
List price ................. 230,000
Transportation fee .............. 4,000
Speeding ticket during transportation ....... 65
Installation fee ................ 2,500
Cost to repair a door damaged during installation . 1,200

Required:
Which of the costs incurred by Phoenix Co. should be capitalized to the machinery account?

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