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1. Classify the following as either revenue or capital expenditures.
a. Paid $ 40,000 cash to replace a compressor on a refrigeration system that extends its useful life by four years.
b. Paid $ 200 cash per truck for the cost of their annual tune ups.
c. Paid $ 175 for the monthly cost of replacement filters on an air conditioning system.
d. Completed an addition to an office building for $ 225,000 cash.
2. Prepare the journal entries to record transactions a and d of part 1.
1. state the sections of the statement of cash flows prepared by the indirect method operating activities investing
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