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i need help 7. Which of the following costs is not typically capitalized as part of an asset's cost? A. Initial testing costs B. Purchase
i need help
7. Which of the following costs is not typically capitalized as part of an asset's cost? A. Initial testing costs B. Purchase price of a service contract for routine maintenance costs C. Costs of insurance during the construction period D. Transportation costs while the asset was in transit E. Installation costs 8. Which costs would most likely be capitalized in a PP\&E account called "Land Improvements"? A. Costs associated with clearing the land for its intended business use B. Costs associated with paving and fencing on the land C. Costs associated with constructing a building on the land 9. Interest costs related to which of the following types of assets qualify for interest capitalization? A. An asset a company manufactures and sells on a routine basis. B. An asset ready for its intended use at the time of purchase. C. An asset a company constructs as a discrete project for sale or lease, or an asset a company constructs for its own use. D. All of the above Step by Step Solution
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