What is the total cost of equipment to be capitalized

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Question - On January 1, 2014, NFL purchased equipment to be used for mixing its products at a cash price of P500,000. In addition to the cash payment, the entity incurred the following cost: freight cost - P20,000; assembly cost - P30,000; cost of trial runs - P50,000; removal cost of old equipment- P60,000; nonrefundable import duties - P40,000; creditable value added tax - P60,000; insurance of the equipment for the year 2014 - P10,000. What is the total cost of equipment to be capitalized by NFL on January 1, 2014?

Reference no: EM132911027

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