Answer:
c. $59,940.
Explanation:
The computation of the recorded cost of the van is shown below:
= Net price - net price × cash discount + sales tax + extra amount paid for special device installed
where,
Net price = $70,000 - $70,000 × 15%
= $70,000 - $10,500
= $59,500
And, the other items values would remain the same
Now put these values to the above formula
So, the value would be equal to
= $59,500 - $59,500 × 2% + $930 + $700
= $59,500 - $1,190 + $930 + $700
= $59,940
