Question: Item5 5points eBookAsk Print References Check my workCheck My Work button is now enabled2 Item5 Item 5 5 points Exercise 8-16A Distinguishing between revenue expenditures

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Exercise 8-16A Distinguishing between revenue expenditures and capital expenditures LO 8-8

Bills Wrecker Service has just completed a minor repair on a tow truck. The repair cost was $1,070, and the book value prior to the repair was $5,320. In addition, the company spent $6,500 to replace the roof on a building. The new roof extended the life of the building by five years. Prior to the roof replacement, the general ledger reflected the Building account at $86,300 and related Accumulated Depreciation account at $40,900. Required After the work was completed, what book value should appear on the balance sheet for the tow truck and the building?

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