Waterloo Corporation purchased factory equipment for a cost of $1,800,000. There was also the cost of $100,000 for delivery, $220,000 for installation and modifications to the factory building, and $60,000 in interest costs on borrowed funds used to acquire the equipment.
Required:
Calculate the acquisition cost of the new equipment.

Question

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The Answer of Waterloo Corporation purchased factory equipment for a cost of $1,800,000. There was also the cost of $100,000 for delivery, $220,000 for installation and modifications to the factory building, and $60,000 in interest costs on borrowed funds used to acquire the equipment.
Required:
Calculate the acquisition cost of the new equipment.

Waterloo Corporation Purchased Factory Equipment for a Cost of $1,800,000