In accounting for plant assets, which of the following outlays made subsequent to acquisition should be fully expensed in the period the expenditure is made?

a. Expenditure made to increase the efficiency or effectiveness of an existing asset
b. Expenditure made to extend the useful life of an existing asset beyond the time frame originally anticipated
c. Expenditure made to maintain an existing asset so that it can function in the manner intended
d. Expenditure made to add new asset services

Answer: c. Expenditure made to maintain an existing asset so that it can function in the manner intended

Business

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Simple deposit multiplier - _____________ of the required reserve ratio.

Fill in the blank(s) with the appropriate word(s).

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An appraisal is effective:

a. only for 1 week after the appraisal. b. at the time of the appraisal. c. on the given day of the inspection. d. None of the above.

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