Chapter $8$

Exploration $8\mathrm{.}1$c $-$ Cost of Property, Plant and Equipment $(13)$

Goal: Learn to calculate the cost of Property, Plant and Equipment $($PPE$).$

Instructions: You are given a description of a purchase of a PPE item and some associated costs. You must calculate the cost of the asset.

Correct Spelling is vital! Moodle is brutal! Consult the Chart of Accounts for help here.

If there are more than one debit or credit the account names must be in alphabetical order.

Do not include the $ sign in your answers.

Your answers must be correct to exactly $2$ decimal places.

Do not include the, indicating thousands in your answers.

Date Column: Enter the date in the form MMM DD$,$ e$.$g$.$ January $3$ would be entered as Jan $3$

Stake Technology Inc. installed new factory machinery. The electrical work required to prepare for the installation was $$19,000.$ The invoice price of the equipment was $$155,000.$ Additional costs were $$4,000$ for delivery and $$23,350,$ sales tax $($ $$12,500$ of the sales tax were non$-$refundable and the balance refundable$).$ During the installation, a component of the machinery was damaged because it was carelessly left on the floor. The cost of repairing the component was $$1,500.$ What is the cost of the machinery?

Cost of Equipment