In January, 2020, Harmony Inc. has the following expenditures related to manufacturing a new generation of widgets. Match each expenditure to the appropriate accounting treatment . a. Takes possession of a widget-manufacturing machine. The vendor sends an invoice for $550,000.
b. Pays sales tax of $33,000 on the machine to the government. Pays employees $95,000 for research and development to c. Receives an invoice for $4,250 from the company that shipped the machine.
d. Pays employees $16,500 to install, customize, and test the widget-manufacturing machine.
e. Pays $3,000 for a one-year warranty insurance) plan for the machine, with coverage beginning when the machine is placed into service on February 1.
A. Capitalize to a different asset account.
B. Capitalize to the Machine account.
C. No accounting entry is necessary.
D. Expense. finalize the widget design.

Harmony Inc.

Expenditure                                          Appropriate accounting treatment

a. Machinery $550,000                       B. Capitalize to the Machine  

b. Machinery $33,000                          B. Capitalize to the Machine

Research and development $95,000 D. Expense.

c. Freight-in (Machinery) $4,250         B. Capitalize to the Machine

d. Installation, etc (Machinery) $16,500 B. Capitalize to the Machine

e. Prepaid Insurance $3,000               A. Capitalize to a different asset account.  

Explanation:

1) Data and Analysis:

a. Machinery $550,000 Accounts payable $550,000

b. Machinery $33,000 Sales Tax Expense $33,000

Research and development $95,000 Cash $95,000

c. Freight-in (Machinery) $4,250 Accounts payable $4,250

d. Installation (Machinery) $16,500 Cash $16,500

e. Prepaid Insurance $3,000 Cash $3,000

b) The correct approach in capitalizing fixed assets and related costs is to follow this procedure: capitalize freight, sales tax, transportation, and installation, in addition to the fixed asset purchase cost.

the u.s. census bureau produces data on the population and economy nationwide. it can you to analyze the kind of people living in your neighborhood. it does not show you the market of people willing to buy your product or an existing market for your product. that will require more market research. the census bureau only gives you an insight to the demographics in your area.

answer; (a) calling people who have not shown interest in the product and asking them to buy it;