Lee bought a printer for office use through a Web site. He also paid for the cost of delivering the printer, maintenance for one year and printing paper. What would be included in Lee’s income statement?
What is the answer and y.
Please and thanks
The cost of a non-current asset in the SOFP is the cost of buying it, having it delivered and installed. Only then do you have a working asset.
The maintenance costs are, well, maintenance costs which are costs of running the machine so would be an expense.
Paper = consumables so would be an expense too.
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