Question

Dolores owns a condominium that she rented all year. She paid $300 to plaster a hole in the living room drywall, purchased paint for $100 to repaint the kitchen, replaced a broken window for $200, replaced the water heater for $1,400, and paid $4,820 to replace the heating system. How much did she spend on repairs?

Answer 1

To determine how much Dolores spent on repairs for her condominium, we need to differentiate between repairs and improvements. Generally, repairs are expenses that maintain the property in its existing condition, while improvements are expenses that enhance the property or extend its useful life.

In Dolores's case, the following expenses are typically considered repairs:

1. Plastering a hole in the living room drywall: $300 (repair)
2. Replacing a broken window: $200 (repair)

The painting of the kitchen ($100) can also be considered a repair, depending on the context, but it usually doesn't have a significant impact on its improvement classification for rental properties. However, typically, painting isn't classified as a repair needed to keep the property usable and is often seen as maintenance or improvement.

The other two expenses:

1. Replacing the water heater: $1,400 (generally considered an improvement)
2. Replacing the heating system: $4,820 (considered an improvement)

In summary, the expenses classified strictly as repairs are:

• Plastering the hole in the drywall: $300
• Replacing the broken window: $200
• Painting the kitchen: $100 (if considered a repair)

Now, let’s add the expenses classified as repairs:

• $300 (drywall repair)
• $200 (window replacement)
• $100 (kitchen painting, if counted as repair)

Total spent on repairs = $300 + $200 + $100 = $600.

So, Dolores spent $600 on repairs.