Excise taxes to be paid on the purchase of factory equipment would be included in which of the following accounts?

Name: Excise taxes to be paid on the purchase of factory equipment would be included in which of the following accounts?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Excise taxes paid on the purchase of factory equipment are considered part of the cost of the equipment and are capitalized in the Equipment account. This is because such taxes directly increase the cost of acquiring the equipment, making it ready for its intended use.

Excise Taxes to Be Paid on the Purchase of Factory