Additions and Improvements Are Costs Incurred to Increase the Operating

question 153

Short Answer

Additions and improvements are costs incurred to increase the operating efficiency productive capacity or expected useful life and are referred to as __________________.

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Definitions:

Local Bakery

A place of business that specializes in producing and selling bread, cakes, and other baked goods to consumers within a specific area.

Plastics Industry

An economic sector involved in the production, distribution, and recycling of plastic materials and products.

Economic Profits

The excess of total revenues over the total costs (including both explicit and implicit costs) of a business.

Entrepreneurial Talent

The unique set of abilities, creativity and initiative needed to identify market opportunities and create new businesses.