ABC Co. purchased a used construction vehicle from another company that was liquidating its equipment. The purchase price was $150,000, and sales tax was 6%. The vehicle had to be transported to ABC's location at a cost of $1,500. ABC also paid the annual registration and permit fees, $50, and installed a special attachment for the type of construction work that ABC does. The attachment cost $500, and labor to install it was $200. 

What amount should be capitalized as the cost of the construction vehicle?

Answer rating: 100% (QA)

The cost of the construction vehicle that should be capitalized by ABC Co is 156250 Heres a ... View the full answer