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Question - Ontario Inc. bought a lift truck with a list price of $40,000. The dealer granted a 15% reduction in the list price, and an additional 2% cash discount on the net price when payment was made in 30 days. Provincial sales tax was $2,380 and Ontario Inc. paid an extra $500 to have a special horn installed. Calculate the recorded cost of the truck?
a) $36,880.
b) $36,380.
c) $36,200.
d) $35,700.
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