Question - Marburg Manufacturing Company purchased a machine on January 2, 2011. The invoice price of the machine was $40,000, and the vendor offered 2 percent discount for payment within ten days. The foloowing additional costs were incurred in connection with the machine
Transportation in $1,200
Installation costs $700
Testing costs prior to regular operation $550
If the invoice is paid within the discount period, Marburg should record the acquistion cost of the machine
A) 41,650
B) 41,100
C) 40,400
D) 39,200