Pat's Pets recently paid to have the engine in its delivery van overhauled. The estimated useful life of the van was originally estimated to be 7 years. The overhaul is expected to extend the useful life of the van to 9 years. The overhaul is regarded as an):

Question

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The overhaul extends the useful life of the van, which is a capital expenditure as it improves the asset's value or extends its useful life.

Pat's Pets Recently Paid to Have the Engine in Its