Hummer Company purchased a delivery truck. The total cash payment was $30,020, including the following items. Negotiated

Question:

Hummer Company purchased a delivery truck. The total cash payment was $30,020, including the following items.
Negotiated purchase price..........................$24,000
Installation of special shelving........................1,100
Painting and lettering....................................900
Motor vehicle license....................................180
Annual insurance policy...............................2,400
Sales tax.................................................1,440
Total paid.............................................$30,020
Explain how each of these costs would be accounted for.