Answer Happy

In determining whether further expenditure incurred on a piece
of property, plant and equipment shall be capitalized as costs of
the asset, which one of below recognition criteria shall be
fulfilled?
Select one:
A.
The monetary amount of the subsequent expenditure exceeds the
materiality threshold of the company (e.g. 5% of net profit for the
year).
B.
The costs can be measured reliably, and it is virtually certain
that future economic benefit can be obtained.
C.
The costs can be measured reliably, and it is probable that future
economic benefit can be obtained.
D.
The useful life of the asset can be extended for a least 3 years as
a result.