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Which of the following enhances the earning capacity of an asset...

This question belongs to Commerce Accounting
Accounting
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Which of the following enhances the earning capacity of an asset?

Answer & Solution
Correct Answer: Option D
Increase in working capacity of an asset and Replacing damage parts of an asset enhances the earning capacity of an asset.
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1 Comment
Jay Bee
Jay Bee 6 years ago
Enhancement of earning capacity of an asset :- Capital expenditure
Replacement of damaged parts of an asset :- Revenue Expenditure
This contradict.
Anybody????
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