Respuesta :
Answer:
c. $70,000
Explanation:
The computation of the expenditure amount that should be capitalized is shown below:
= Purchased cost of an equipment
= $70,000
As the cost that is spent for functioning the asset that lies between the purchased cost to the installation cost should be capitalized
And the other cost are not considered as they are not related to the purchased cost and installation cost
Hence, the correct option is c. $70,000
Expenditure is referred to as the money that is spent in buying any of the equipment or the goods and services for self-consumption. The most important thing about the expenditure is it cannot exceed the income of the person. It is always less than the income of the person.
The correct answer for the amount of expenditures is c. $70,000
The computation of the amount of expenditures to capitalize for the year is:
Purchased cost of an equipment = $70,000
The cost of operating a property that falls between the purchase price and the installation price should be allocated.
Other costs are not taken into account because they are unrelated to the purchase and infrastructure projects.
Therefore, the correct option is c. $70,000
To know more about the computation of the expenditure, refer to the link below:
https://brainly.com/question/23797333
