Solved

If the Ratio of Repairs and Maintenance Expense to Property

Question 57

Multiple Choice

If the ratio of repairs and maintenance expense to property, plant, and equipment is higher than expected, which of the following is a plausible explanation?


A) Routine maintenance on an important piece of machinery was charged to repairs and maintenance expense.
B) An addition to a building was charged to repairs and maintenance expense.
C) The company forgot to depreciate all of its equipment.
D) The company purchased an unusual amount of new equipment.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions