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Louisiana Logging Co. purchased an electronic saw to cut v

By admin / June 22, 2020

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Louisiana Logging Co. purchased an electronic saw to cut various types and sizes of logs. The saw had a list price of $122680. The seller agreed to allow a 5.50 percent discount because Louisiana paid cash. Delivery terms were FOB shipping point. Freight cost amounted to $2280. Louisiana had to hire an individual to operate the saw. Louisiana had to build a special platform to mount the saw. The cost of the platform was $1000. The saw operator was paid an annual salary of $20090. The cost of the companys theft insurance policy increased by $2320 per year as a result of acquiring the saw. The saw had a five-year useful life and an expected salvage value of $10800.RequiredDetermine the amount to be capitalized in the asset account for the purchase of the saw. (Round your answers to the nearest whole dollar amount.)

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