Beaverton Lumber purchased milling equipment for $43,000. In addition to the purchase price, Beaverton made the following expenditures: freight, $2,300; installation, $3,800; testing, $2,800; personal property tax on the equipment for the first year, $900. What is the initial cost of the equipment

the initial cost of the equipment is $51,900

Explanation:

The computation of the initial cost of the equipment is as follows:

= Purchase price + freight + installation + testing

= $43,000 + $2,300 + $3,800 + $2,800

= $51,900

Hence, the initial cost of the equipment is $51,900

By applying the above formula we can easily calculate it

option c                    

Explanation:

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