Broham Manufacturing Company purchased a machine on January 2,2014.The invoice price of the machine was $40,000,and the vendor offered a 2 percent discount for payment within ten days.The following additional costs were incurred in connection with the machine:

If the invoice is paid within the discount period,Broham should record the acquisition cost of the machine at
A)$41,650.
B)$41,100.
C)$40,400.
D)$39,200.

Question

Broham Manufacturing Company purchased a machine on January 2,2014.The invoice price of the machine was $40,000,and the vendor offered a 2 percent discount for payment within ten days.The following additional costs were incurred in connection with the machine:

If the invoice is paid within the discount period,Broham should record the acquisition cost of the machine at

If the invoice is paid within the discount period,Broham should record the acquisition cost of the machine at
A)$41,650. 
B)$41,100. 
C)$40,400. 
D)$39,200.

Quizplus · Accepted Answer

The Answer of Broham Manufacturing Company purchased a machine on January 2,2014.The invoice price of the machine was $40,000,and the vendor offered a 2 percent discount for payment within ten days.The following additional costs were incurred in connection with the machine:

If the invoice is paid within the discount period,Broham should record the acquisition cost of the machine at
A)$41,650. 
B)$41,100. 
C)$40,400. 
D)$39,200.

Broham Manufacturing Company Purchased a Machine on January 2,2014