Final answer:
Certified repair stations, manufacturers, or organizations with FAA certification can rebuild an aircraft engine and issue a zero time record. The rebuild must comply with factory new limits, and a new logbook endorsement is issued to reflect the zero time status.
Step-by-step explanation:
Who is Authorized to Rebuild an Aircraft Engine and Issue a Zero Time Record?
Only entities who are certified by the Federal Aviation Administration (FAA), such as certified repair stations, manufacturers, or other organizations with the appropriate certifications, can rebuild an aircraft engine and issue a zero time record. An individual or organization must hold an FAA powerplant mechanic certificate with the appropriate ratings or be under the supervision of someone who does to conduct such a rebuild. After the rebuild, for the engine to be considered as having zero time, it must comply with the factory new limits from the original manufacturer, or equivalent approved parts, and must be issued with a new logbook endorsement or record signifying this status.