Skip to main content
Financial Accounting
My Course
Learn
Exam Prep
AI Tutor
Study Guides
Flashcards
Explore
My Course
Learn
Exam Prep
AI Tutor
Study Guides
Flashcards
Explore
Back
Ordinary Repairs vs. Capital Improvements
Download worksheet
Problem 1
Problem 2
Problem 3
Problem 4
Problem 5
Problem 6
Problem 7
Problem 8
Problem 9
Problem 10
Ordinary Repairs vs. Capital Improvements
Download worksheet
Practice
Summary
Previous
3 of 10
Next
8. Long Lived Assets / Ordinary Repairs vs. Capital Improvements / Problem 3
Problem 3
Why is the wording of 'modify' and 'improve capacity' significant in identifying capital improvements?
A
These terms are used to describe ordinary repairs.
B
These terms suggest changes that extend the useful life or enhance the asset's capabilities, indicating capital improvements.
C
These terms indicate routine maintenance tasks.
D
These terms have no impact on the classification of expenses.
AI tutor
0
Show Answer