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What amount of the costs should be capitalized

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Question

On June 18, 2017, Dell Printing Co. incurred the following costs for one of its printing presses:

Purchase of collating and stapling attachment $84,000

Installation of attachment 36,000

Replacement parts for overhaul of press 26,000

Labor and overhead in connection with overhaul 14,000

The overhaul resulted in a significant increase in production. Neither the attachment nor the overhaul increased the estimated useful life of the press. What amount of the above costs should be capitalized?

Reference no: EM132325600

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