Multiple Choice
Crouch Apartments purchased an apartment building to rent to university students on December 15, 2015.The tenants moved in on January 1, 2016.On Super Bowl Sunday, a student punched a hole in the wall when his favorite team fumbled the ball.It cost the landlord $400 to repair the hole.How should this cost be recorded?
A) It should be recorded as part of the asset account.
B) It should be recorded as repair and maintenance expense.
C) It should not be recorded as the tenants will be charged for the damage.
D) It should not be recorded since this is an immaterial amount to the landlord.
Correct Answer:
Verified
Correct Answer:
Verified
Q45: Depreciation does not describe the increase or
Q106: A revenue expenditure is deducted from the
Q120: Select the account that would be increased
Q124: Given below is a list of items
Q126: Blanton Company bought equipment on January 1,
Q127: Given the following list of methods of
Q128: If technology changes rapidly, a firm should<br>A)
Q130: For each of the following items, indicate
Q147: Which of the following accounts would not
Q155: For each of the following sentences