Mllustration. JOT
-תודה
odborntonan to ao old protina
Membo Ajab Hd is developing a new production pro cess - Duning 2019, expenditure
incurred a Ksh 10,000,000 of which Ksh 1,000,000 was incurred before 1
December 2019 and 31 December 2019. Mambo Ajab Itd can demonstrate
u that at 1 December (2010, the
production
process
met the entena for
Do recognition as an intangible asset. The reco yarable amount of the know-how
z embodied in the process is estimated to be Ksh 5,000,000 bao
tan oldipoti
ano rolaph
How should the expenditure be treated ?
Required:

About time delivery co. incurred the following costs related to trucks and vans used in operating its delivery service: classify each of the costs as a capital expenditure or a revenue expenditure. 1. changed the oil and greased the joints of all the trucks and vans. 2. changed the radiator fluid on a truck that had been in service for the past four years. 3. installed a hydraulic lift to a van. 4. installed security systems on four of the newer trucks. 5. overhaul the engine on one of the trucks purchased three years ago. 6. rebuilt the transmission on one of the vans that had been driven 40,000 miles. the van was no longer under warranty. 7. removed a two-way radio from one of the trucks and installed a new radio with a greater range of communication. 8. repaired a flat tire on one of the vans. 9. replaced a truck's suspension system with a new suspension system that allows for the delivery of heavier loads. 10. tinted the back and side windows of one of the vans to discourage theft of contents.

Why should managers invest any excess cash

Within the relevant range, if there is a change in the level of the cost driver, then a. total fixed costs will remain the same and total variable costs will change b. total fixed costs will change and total variable costs will remain the same c. total fixed costs and total variable costs will change d. total fixed costs and total variable costs will remain the same