Rona Company provided the following charges to the “repair and maintenance account”. Service contract on office equipment 100,000 Initial design fee for proposed extension of office building 150,000 New condenser for central air conditioning unit 10,000 Purchase of executive chairs and desks 200,000 Purchase of storm windows and screens and their installation all office windows 500,000 Sealing of roof leaks in production area 80,000 Replacement of door to production area 50,000 Installation of automatic door-opening system 200,000 Overhead crane for assembly department to speed up production 350,000 Replacement of broken gear on machine , 60,000 what total amount of expend
Rona Company provided the following charges to the “repair and maintenance account”.
Service contract on office equipment 100,000 Initial design fee for proposed extension of office building 150,000 New condenser for central air conditioning unit 10,000 Purchase of executive chairs and desks 200,000 Purchase of storm windows and screens and their installation all office windows 500,000 Sealing of roof leaks in production area 80,000 Replacement of door to production area 50,000 Installation of automatic door-opening system 200,000
what total amount of expenditure should be capitalized?
a. 1,500,000
b.1,410,000
c 1,400,000
d. 1,200,000
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