11) If an extraordinary repair is incorrectly expensed in the current period, what is the effect on the net income for the current period and for future periods?
12) A company expenses the cost of a betterment by debiting Repair and Maintenance Expense, rather
than capitalizing it (debiting an asset). What effect would this error have on the income statement?
13) What is the definition of betterments such as an addition to an existing building?
14) Sorine Industries inadvertently debited a $5,000 betterment as an ordinary expense. What is the balance sheet effect of this mistake in the current year?
15) Prepare journal entries for the following transactions for Jacob Company.
Sept 2 Replaced the engine in Tractor #1, paying cash, $7,200.
Sept 5 Paid cash for an engine tune-up in Tractor #2, $630.
16) On September 9, Ariana Company paid $15,300 to purchase a front end loader for its Tractor #2.
What is the journal entry to record this?