Crane Company incurs these expenditures in purchasing a truck: cash price $22,280, accident insurance (during use) $1,940, sales taxes $1,730, motor vehicle license $250, and painting and lettering $2,350. What is the cost of the truck?

Cost of Truck = $26360

Explanation:

given data

cash price = $22,280

accident insurance = $1,940

sales taxes = $1,730

motor vehicle license = $250

painting and lettering = $2,350

solution

we know that Accidental insurance and the vehicle license are not include in cost of truck because there are yearly cost so that cost of the truck will be as

cost of the truck = cash price + sales taxes + painting and lettering ... 1

put here value we get

Cost of Truck = $22,280 + $1,730 + $2,350

Cost of Truck = $26360