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An improvement made to a machine increased its fair value and its production capacity by 25% without extending the machine's useful life. The cost of
An improvement made to a machine increased its fair value and its production capacity by 25% without extending the machine's useful life. The cost of the improvement should be:
a) expensed
b) debited to accumulated depreciation
c) capitalized in the machine account
d) allocated between accumulated depreciation and the machine account
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