You are a staff accountant in a CPA firm. Your manager has asked you to provide a report containing accounting information on the following 3 clients:Global Inc.purchased a machine and incurred the following expenditures:Purchase price$20000Freight costs$1000Sales tax$2000Insurance on shipment$200Insurance for the first year on the machine$500Installation of the machine$2000Brands Resourcestraded an old machine for a new machine. The book value of the old machine was $150000 (original cost $320000 less accumulated depreciation of $170000). The fair value was $180000. Brands Resources paid $20000 to complete the exchange.Reliable Companypurchased a machine on January 1 2008 at a net cost of $85000. At the end of the 4-year life it expects the machine will have a salvage value of $5000. It also estimates that the machine will run for 10000 hours during its 4-year life. The company has a fiscal year that ends on December 31.YearMachine hours20082000200930002010100020114000
