Problem: Module 2 Textbook Problem 12 Learning Objective: 28 Identify and determine the cost of long-term operational assets Southwest Milling Co. purchased a front-end loader to move stacks of lumber. The loader had a list price of $124,490. The seller agreed to allow a 4.25 percent discount because Southwest Milling paid cash. Delivery terms were FOB shipping point. Freight cost amounted to $2,960. Southwest Milling had to hire a specialist to calibrate the loader. The specialist's fee was $1,010. The loader operator is paid an annual salary of $27,000. The cost of the company's theft insurance policy increased by $1,730 per year as a result of acquiring the loader. The loader had a four-year useful life and an expected salvage value of $5,300. Required Determine the amount to be capitalized in the asset account for the purchase of the front-end loader. (Round your answers to the nearest whole dollar. Amounts to be deducted should be indicated with minus sign.)