Solution-What amount should the truck be recorded on

What amount should the truck be recorded on balance sheet

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Reference no: EM132960429

Problem 1: A3 Salvia Company recently purchased a truck. The price negotiated with the dealer was £40,000. Salvia also paid sales tax of £2,000 on the purchase, shipping and preparation costs of £3,000, and insurance for the first year of operation of £4,000. At what amount should the truck be recorded on the balance sheet prior to recording depreciation expense?

A) £40,000.

B) £43,000

C) £42,000.

D) £45,000

Reference no: EM132960429

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What amount should the truck be recorded on balance sheet

Reference no: EM132960429

Reference no: EM132960429

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