Runge Company Purchased Machinery on January 1 at a List

question 141

Multiple Choice

Runge Company purchased machinery on January 1 at a list price of $250,000, with credit terms 2/10, n/30. Payment was made within the discount period. Runge paid $12,500 sales tax on the machinery, and paid installation charges of $4,400. Prior to installation, Runge paid $10,000 to pour a concrete slab on which to place the machinery. What is the total cost of the new machinery?

• A) $261,900.
• B) $271,900.
• C) $276,900.
• D) $252,500.

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Definitions:

Placebo Response

The phenomenon where patients experience a perception of improvement in symptoms after receiving a treatment that has no therapeutic effect.

Allopathic

A term used to describe the mainstream medical use of pharmacologically active agents or physical interventions to treat or suppress symptoms or pathophysiological processes of diseases or conditions.

Counteracting

Acting against something to reduce its force or neutralize its effects.

Integrative

Approaches that combine treatments and therapies from both conventional and alternative medicine to care for the whole person.