Business, 02.04.2020 23:19, ella3714

Arizona Communications contracted to set up a call center for the City of Phoenix. Under the terms of the contract, Arizona Communications will design and set-up a call center with the following costs:Design of call center $10,000Computers, servers, telephone equipment $275,000Software $85,000Installation and testing of equipment $15,000Selling commission $25,000Annual service contract $50,000 In addition, Arizona Communications will maintain and service the equipment and software to ensure smooth operations of the call center for an annual fee of $90,000. Ownership of equipment installed remains with the City of Phoenix. The contract costs that should be capitalized isa. $460,000b. $410,000c. $360,000d. $370,000

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Arizona Communications contracted to set up a call center for the City of Phoenix. Under the terms o...