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Ryan Company purchased a building on January 1, 2021, for $265,000. In addition, during 2021 the following costs related to the building have been incurred:
Ryan Company purchased a building on January 1, 2021, for $265,000. In addition, during 2021 the following costs related to the building have been incurred:
| Utilities | $ | 27,000 | |
| Property tax | 5,500 | ||
| Expansion of the building | 68,000 | ||
| New air-conditioning system | 43,000 | ||
| General maintenance | $ | 34,000 | |
The amount of expenditures to capitalize for the year (not including the initial purchase of the building) is:
Multiple Choice
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$50,000.
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$53,000.
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$111,000.
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$102,000.
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