Answer:
Debit : Equipment and Credit : Cash
Step-by-step explanation:
Major expenditure made to equipment that extends its useful life meets the definition and recognition criteria of assets.
The definition and recognition criteria of assets read as follows in the conceptual framework : Definition - An Asset is an economic resource that is controlled by the entity as a result of a past event from which economic benefits are expected to flow into the entity.
The major expenditure, will ensure further flow of economic benefits into the entity beyond the estimated useful life. Hence the cost is capitalized, included in the cost of the asset.