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During your audit of Bud Company, you discover that the company erroneously capitalized the cost of painting its warehouse. In addition, you note that this
During your audit of Bud Company, you discover that the company erroneously capitalized the cost of painting its warehouse. In addition, you note that this is a violation of company policy in this area. When, while examining Bud's financial statements, would you most likely have detected this?Group of answer choicesExamining the construction work orders supporting items capitalized during the yearDiscussing capitalization policies with Bud's controllerExamining maintenance expense accountsObserving, during the physical inventory observation, that the warehouse had been painted
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