Posted: July 11th, 2022

What is the proper accounting treatment for repairs and maintenance and plant assets?

Place your order now for a similar assignment and have exceptional work written by our team of experts, At affordable rates

For This or a Similar Paper Click To Order Now

Address the scenario below in your initial post:
You have just landed an accounting position with Freddy’s Fresh Food, a company that has several Food Trucks that show up around town at events. Because this is your first job you are eager to please your supervisor who works closely with the owner. Your supervisor has just told you that the owner is concerned that profits this year are much less than profits in the preceding five years.
Your supervisor gives you an adjusting journal entry to correct what she calls “expense transfers”. The entry transfers costs originally recorded as repairs and maintenance to capital assets.
Prepare a discussion posting to address:
What is the proper accounting treatment for repairs and maintenance and plant assets?
What information do you need to determine how to properly record the costs for Freddy’s Fresh Food truck expenses?
What is your supervisor trying to accomplish with the suggested “expense transfers” entry on Freddy’s Fresh Food books?
What would be your course of action regarding the suggested entry?

For This or a Similar Paper Click To Order Now