Reference no: EM132782300
A new building was built where the new brick making plant would be located. This is the cost of that building. $1,200,000
The brick making plant requires specialised installation and commissioning. This is the cost of that process. $54,600
Prior to the decision to buy the brick making plant a project team was developed to look at the feasibility of the purchase. This is the amount of the costed time of the staff involved. $6,780
Purchase cost of the basic brick making plant. $1,860,000
Additional attachments were also purchased which are fundamental to the brick making plant. This is the cost of the attachments. $236,800
The brick making plant is manufactured in Greece and import taxes are required to be paid. This is the amount of the import taxes. $43,000
Costs were incurred in re-training the operators for the new plant and these are the amounts incurred. $12,300
The extra assets required an increase in security surveillance. This is the cost of that for the next 12 months. $10,400
The company took advantage of a 12 month maintenance contract for the plant and this is the cost of that. $23,000
Problem 1: What can't be accounted for as an expense?