GDB mgt101 solution require due date 22june, 2012

[mc120200789]

[FONT=&quot]United Manufacturing Company (UMC) has recently imported new machinery – MZ01 on 1st June, 2011. The invoice price of this machinery is Rs. 800,000/-. UMC has paid Rs. 50,000/- as custom duty and freight charges. After reaching the machinery at factory, a sum of Rs. 10,000/- was spent as installation and erection cost. Besides this, an amount of Rs. 100,000/- has also been incurred for training the machine staff to operate this machinery. During the installation, an internal part of the machinery got damaged and a new part was replaced with an amount of Rs. 9,000/-. [/FONT][FONT=&quot][/FONT]
[FONT=&quot]Required:[/FONT][FONT=&quot][/FONT]
[FONT=&quot]You are required to identify along with proper reasons that which of the costs of the above mentioned transactions would be charged to the machinery account and which be not.[/FONT][FONT=&quot] [/FONT][FONT=&quot][/FONT]