The Production Machine was revised for its maintenance. Some components within the machine were changed, hundreds of them.
In terms of component values, can we capitalise the components that are on and below the depreciation limit of TRY 1.000,00? And can we record the components below the depreciation limit as production expense?
Or do we have to capitalize all of the invoice?
For example;
Machine Bolt : 10 * TRY 50 = 500,00 Expense
Machine Strap: 2 * TRY 600 = 1.200 Expense
Motor : 2 * TRY 5.000 = 10.000 Depreciation
Total : TRY 11.700
(19.12.2018)
Is the total amount included in depreciation or just the amount for 2 motors which is TRY 10.000.
We think that all of the above, except for the motor, are written off.
Source: İSMMMO
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