Norman Geological Surveys located in Baltimore, Maryland purchased surveying equipment

from a manufacturer, in Raleigh, North Carolina for $$26,090.$ Norman incurred the following

additional charges in relation to the equipment:

Total Freight from Raleigh to Baltimore $$2490.$ Norman and the seller divided these charges

amongst themselves in the following ratio: Norman $31\%$; Manufacturer $69\%.$

Insurance premium on equipment while in transit $$490$

Insurance premium on equipment for first year $$360$

Installation of Equipment: $$625$

Testing of Equipment to make sure it was installed properly: $$200$

Sales Taxes $$2061$

Requirement: Calculate the cost of the equipment on Norman$’$s books? Round your calculations to the nearest dollar.

$($Round the freight calculation to the nearest dollar$)$

This Excel Worksheet was created by Amy Bohrer, CPA and is licensed under a Creative Commons Attribution $4\mathrm{.}0$

International License.