Mount Company Purchased a Machine at an Invoice Cost of $26,000

Multiple Choice

Mount Company purchased a machine at an invoice cost of $26,000 subject to terms of 2/10, n/30. The discount was taken. Additional costs were installation, $1,200; insurance on the machine after it was in operation, $300. The total cost to be added to the machinery account is:

A) $25,700.
B) $26,680.
C) $27,500.
D) $27,200.