Assets bought for safety or environmental reasons qualify for recognition even though they add nothing directly to any single existing asset, because without them the entity could not obtain the benefits of its other assets; the combined carrying amount is then tested for impairment under AASB 136. Routine servicing costs, chiefly labour, consumables and small parts, often described as repairs and maintenance, are expensed as incurred and never capitalised. Where parts of an item need replacing at intervals (a furnace lining, aircraft seats, interior walls), the replacement cost is added to the item's carrying amount when incurred if the recognition test is met, and the carrying amount of the part replaced is derecognised. Where continuing to operate an item depends on periodic major inspections, each inspection cost is capitalised as a replacement when the test is met, and any remaining carrying amount of the earlier inspection is derecognised even if it was never separately identified at acquisition; the estimated cost of a similar future inspection may indicate what the original inspection component cost.
The graph holds this control, the 0 it maps to, and the evidence behind each claim, over MCP and REST.