Required:Discuss the principles and practices which should be used in the financial year t

Required:

Discuss the principles and practices which should be used in the financial year to 30 November 2008 to account

for:(b) the costs incurred in extending the network; (7 marks)

Costs incurred in extending networkThe cost of an item of property, plant and equipment should be recognised when(i) it is probable that future economic benefits associated with the item will flow to the entity, and(ii) the cost of the item can be measure