When deciding on a depreciation method repair and maintenance costs associated with the asset should be a considering factor to ensure that the total costs are reported accurately in the financial statements.

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This is because depreciation is a way to spread out the cost of an asset over its useful life, and repair and maintenance costs can affect the total cost of the asset. Including these costs in the calculation can help ensure that the depreciation expense accurately reflects the total cost of the asset over its useful life.

When Deciding on a Depreciation Method Repair and Maintenance Costs