Calvène, a distributor of electrical equipment, imports 2,000 units motors at a unit list price of 85, with a trade discount of 5%. It bears freight of 4,200, transit insurance of 900, directly attributable to the acquisition, and non-recoverable customs duties of 6,400. Recoverable VAT amounts to 34,600. Finally, Calvène spends 2,500 on advertising to announce that the motors are on sale. Compute the total costs of purchase of the batch and the unit cost.
- Number of motors
- 2,000
- Unit list price
- 85
- Trade discount rate
- 5 %
- Freight
- 4,200
- Transit insurance
- 900
- Non-recoverable customs duties
- 6,400
- Recoverable VAT
- 34,600
- Advertising for the sale
- 2,500