Exercise $6-4$A $($Algo$)$ Determining the cost of an asset LO $6-1$

Southwest Milling Company purchased a front$-$end loader to move stacks of lumber. The loader had a list price of $$123,390.$ The seller

agreed to allow a $4\mathrm{.}50$ percent discount because Southwest Milling paid cash. Delivery terms were FOB shipping point. Freight cost

amounted to $$2,310.$ Southwest Milling had to hire a specialist to calibrate the loader. The specialist's fee was $$950.$ The loader

operator is paid an annual salary of $$8,930.$ The cost of the company's theft insurance policy increased by $$2,480$ per year as a result

of acquiring the loader. The loader had a four$-$year useful life and an expected salvage value of $$9,400.$

Required

Determine the amount to be capitalized in the asset account for the purchase of the front$-$end loader.

Note: Round your answers to the nearest whole dollar. Amounts to be deducted should be indicated with minus sign.

Answer is complete but not entirely correct.