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Acc 291Exercises and Problems - Week TwoACC/291University of PhoenixE9-1A. In this scenario, with the cost principle, the purchase cost for thefactory asset will have all bills necessary to get the asset and make itready for its particular objective.B. 1. Property2. Plant Machines3. Delivery Machines4. Land Renovations5. Delivery Machines6. Plant Machines7. Prepaid Insurance8. License ExpenditureE9-7A. 1. 2011: $3,5002012: $3,5002. $0.28 per mile2011: $4,2002012: $3,3603. 2011: $7,5002012: $5,625B. 1. Wear and tear Expenditure 3,5003,5002. Delivery Vehicle 30,000Accumulated Wear and tear 3,500$26,500E9-12Dec. 31 Amortization Expenditure: Patent 12,00012,000P9-7BA. Jan. 2 Patents 45,00045,000Jan. Research and DevelopmentJune Expenditure 230,000230,000Sept. 1 Advertising Expenditure 125,000125,000Oct. 1 Copyright 200,000200,000B. Dec. 31 Amortiza

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