Somerset company acquired a piece of equipment with a list price of $200,000 for $150,000. freight to somerset's location was $7,000. installation and testing costs were $10,500. an old piece of equipment was scrapped as a result of this new purchase. the old piece of equipment had an undepreciated value (net book value) of $8,000. the new piece of equipment is expected to have a 10 year life and a salvage value of $15,000. what is the total value assigned to the new piece of equipment?

The euqipment value is 167,500 dollars

Explanation:

The equipment will enter the accounting as the sum of all the cost needed to leave the equipmenbt ready to be use.

Thus, it will include:

purchase cost of 150,000

freight-in for            7,000

Installation cost    10,500

Total cost:           167,500

The old piece of equioment cost and disposal are nto related to this new equipment, so we ignore this data.

its ii) i did this test

explanation:

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.