Q # 1 Fazil Company purchased a machine on April 01, 2001 at a list price of Rs. 60,000 with a trade discount at 5%. The credit terms were 2/10, n/30. The payment was made within discount period. The company incurred the following additional expenditure. 4% Sales Tax on the cash price of Machine. Custom duty Rs. 11,000 Installation and testing cost Rs. 13,000 The Machine was insured against fire and premium paid Rs. 3,500 Insurance in transit Rs. 5,000 Fright in Rs. 2,500 INSTRUCTION: Compute the cost of Machine

Q # 1 Fazil Company purchased a machine on April 01, 2001 at a list price of Rs. 60,000 with a trade discount at 5%. The credit terms were 2/10, n/30. The payment was made within discount period. The company incurred the following additional expenditure. 4% Sales Tax on the cash price of Machine. Custom duty Rs. 11,000 Installation and testing cost Rs. 13,000 The Machine was insured against fire and premium paid Rs. 3,500 Insurance in transit Rs. 5,000 Fright in Rs. 2,500 INSTRUCTION: Compute the cost of Machine

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 2EA: Marx Corp. purchases 135 fax machines on credit from a manufacturer on April 7 at a price of $250...

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