How does the system determine Older Transactions upon Resubmission?

How does the system treat expense transaction dates and submit dates when the expense report is sent back for revision then re-submitted?  Assume the initial submission was within the Older Transaction grace period on the Expense Definition setup page (i.e. the transactions were not marked as older).

I understand that the system compares the # of days between the expense transaction date and the submit date to determine if the transactions are older.  However, when a report that was initially current gets sent back and the now the transactions are "older" does the system continue to use the original submit date or the resubmission date to determine the number of days?