On September 10, 2020, Crane Company incurred the following costs for one of its printing presses: Purchase of attachment   $49000 Installation of attachment   5400 Replacement parts for renovation of press   15400 Labor and overhead in connection with renovation of press   6700 Neither the attachment nor the renovation increased the estimated useful life of the press. However, the renovation resulted in significantly increased productivity. What amount of the costs should be capitalized?

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter12: Intangibles
Section: Chapter Questions
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On September 10, 2020, Crane Company incurred the following costs for one of its printing presses:

Purchase of attachment   $49000
Installation of attachment   5400
Replacement parts for renovation of press   15400
Labor and overhead in connection with renovation of press   6700


Neither the attachment nor the renovation increased the estimated useful life of the press. However, the renovation resulted in significantly increased productivity. What amount of the costs should be capitalized?

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