[The following information applies to the questions displayed below.] A recent annual report for FedEx included the following note Property and Equipment Expenditures for major additions, improvements, flight equipment modifications, and certain equipment overhaul costs are capitalized when such costs are determined to extend the useful life of the asset or are part of the cost of acquiring the asset. Maintenance and repairs are charged to expense as incurred.. Assume that FedEx made extensive repairs on an existing building and added a new wing. The building is a garage and repair facility for delivery trucks that serve the Denver area. The existing building originally cost $960,000, and by the end of 2013 (8 years), it was half depreciated on the basis of a 16-year estimated useful life and no residual value. Assume straight-line depreciation was used. During 2014, the following expenditures related to the building were made a. Ordinary repairs and maintenance expenditures for the year, $12,000 cash b. Extensive and major repairs to the roof of the building, $138,000 cash. These repairs were completed on December 31, 2014 c. The new wing was completed on December 31, 2014, at a cash cost of $236,000 value: 3.18 points Required 1. Applying the policies of FedEx, complete the following, indicating the effects for the preceding expenditures. Indicate the effects positive value for increase, negative value for decrease, and zero for a net effect of zero Accumulated Depreciation Repairs Depreciation Building Cash Expense Expense $960,000 Balance 1/1/14 Depreciation for 2014 Balance prior to expenditures Expenditure a Expenditure b Expenditure c. Balance 12/31/14