Bahama catering purchased a commercial dishwasher by paying cash of $5,000. the dishwasher's fair value on the date of the purchase was $5,600. the company incurred $400 in transportation costs, $300 installation fees, and paid a $200 fine for illegal parking while the dishwasher was being delivered. for what amount will bahama record the dishwasher?

Dishwasher total cost=  5000+400+300= $5700

Explanation:

Giving the following information:

Bahama Catering purchased a commercial dishwasher by paying cash of $5,000.

The dishwasher's fair value on the date of the purchase was $5,600. The company incurred $400 in transportation costs, $300 installation fees, and paid a $200 fine for illegal parking

Original cost is the total price associated with the purchase of an asset. The original cost of an asset takes into consideration all of the items that can be attributed to its purchase and to putting the asset to use. These costs include the purchase price and such factors as commissions, transportation, appraisals, warranties and installation, and testing.

Dishwasher total cost= price+tranpotation+installation fees= 5000+400+300= $5700

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