Acquisition Cost of an Item of Purchased Equipment Law and Legal Definition

Pursuant to 49 CFR 18.3 [Title 49 – Transportation; Subtitle A -- Office of the Secretary of Transportation; Part 18 -- Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments], acquisition cost of an item of purchased equipment means “the net invoice unit price of the property including the cost of modifications, attachments, accessories, or auxiliary apparatus necessary to make the property usable for the purpose for which it was acquired. Other charges such as the cost of installation, transportation, taxes, duty or protective in-transit insurance, shall be included or excluded from the unit acquisition cost in accordance with the grantee's regular accounting practices.”