Which of the following is included in the cost of a plant asset?

Name: Which of the following is included in the cost of a plant asset?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Amounts paid to ready the asset for its intended use are included in the cost of a plant asset, as these costs are necessary to acquire the asset and prepare it for its intended use. Regular maintenance, normal repair costs, and wages of workers who use the asset are considered operational expenses and are not capitalized as part of the asset's cost.

Which of the Following Is Included in the Cost of a Plant