Extraordinary repairs:
A)Are revenue expenditures.
B)Extend an asset's useful life beyond its original estimate.
C)Are credited to accumulated depreciation.
D)Are additional costs of plant assets that do not materially increase the asset's life.
E)Are expensed as incurred.

Question

Quizplus · Accepted Answer

Extraordinary repairs are major repairs that extend the useful life of the asset beyond its original estimate. They are considered capital expenditures and are added to the cost of the asset and depreciated over its useful life.

Extraordinary Repairs