Carpino Company Purchased Equipment and These Costs Were Incurred What Amount Should Be Recorded as the Cost of the

Carpino Company purchased equipment and these costs were incurred: $\begin{array}{lr}\text { Cash price } & \$ 75,000 \\\text { Sales taxes } & 3,500 \\\text { Insurance during transit } & 750 \\\text { Installation and testing } & 1,500 \\\text { Total costs } & \$ 80,750\end{array}$ What amount should be recorded as the cost of the equipment?

A) $75,000.
B) $78,500.
C) $79,250.
D) $80,750.