Business
Business, 18.01.2021 21:30, babra

Plant assets often require expenditures subsequent to acquisition. It is important that they be accounted for properly. Any errors will affect both the balance sheets and income statements for a number of years. For each of the following items, indicate whether the expenditure should be capitalized or expensed in the period incurred. Items (a) Improvement. select between capitalized or expensed Capitalized (b) Replacement of a minor broken part on a machine. select between capitalized or expensed Expensed (c) Expenditure that increases the useful life of an existing asset.

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