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a. Paid $40,000 cash to replace a compressor on a refrigeration system that extends its useful life by four years. b. Paid $200 cash per

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a. Paid $40,000 cash to replace a compressor on a refrigeration system that extends its useful life by four years. b. Paid $200 cash per truck for the cost of their annual tune-ups c. Paid $175 for the monthly cost of replacement filters on an air-conditioning system. d. Completed an addition to an office building for $225,000 cash. 1. Classify the above transactions as either a revenue expenditure or a capital expenditure. 2. Prepare the journal entries to record transactions a and d Journal entry worksheet system that to replace a compressor on a Paid $40,000 cash extends its useful life by four years Next >

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