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Torres Co Has Installed a Piece of Machinery for a Total

Question 111

Multiple Choice

Torres Co. has installed a piece of machinery for a total of $45,000. In its third month of operation, repairs of $900 had to be made on the machine. This $900 would be:


A) added to the cost of the machinery.
B) treated as a repairs and maintenance expense.
C) capitalized in an asset account.
D) deducted from cost of the machinery.

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