Expenditures that maintain the operating efficiency and expected productive life of a plant asset are generally

a. expensed when incurred.

b. capitalized as a part of the cost of the asset.

c. debited to the Accumulated Depreciation account.

d. not recorded until they become material in amount.

Question

Joey

Business

15 September, 08:36

Expenditures that maintain the operating efficiency and expected productive life of a plant asset are generally

a. expensed when incurred.

b. capitalized as a part of the cost of the asset.

c. debited to the Accumulated Depreciation account.

d. not recorded until they become material in amount.

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Answers (1)

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Miguel Ryan · Answer 1

A. Expensed when incurred.

Explanation:

An incurred expense is basically the cost that are unpaid for. Paid expenses are incurred expenses once you paid for it (Eg credit card).

Expenditures that maintain the operating efficiency and expected productive life of a plant asset are generallya. expensed when incurred.b. capitalized as a part of the cost of the asset.c. debited to the Accumulated Depreciation account.d. not recorded until they become material in amount.

Expenditures that maintain the operating efficiency and expected productive life of a plant asset are generally

a. expensed when incurred.

b. capitalized as a part of the cost of the asset.

c. debited to the Accumulated Depreciation account.

d. not recorded until they become material in amount.