Question: Fredricks Co . spent $ 3 0 , 0 0 0 in annual maintenance on its equipment in 2 0 2 5 . How should

Fredricks Co. spent $30,000 in annual maintenance on its equipment in 2025. How should this maintenance be accounted for?
Group of answer choices
Annual maintenance does not add to the life of the assets or improve quality, so this would be treated as a period expense.
Annual maintenance adds to the usefulness of the asset and would be capitalized.
Annual maintenance adds to the expected life of the asset and would decrease accumulated depreciation.
None of the above is correct.

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