5 Written Questions
5 Matching Questions
- Intangible asset
- a The value of all favorable attributes that relate to a business enterprise.
- b The allocation of the cost of a natural resource to expense over its useful life in a rational and systematic manner
- c Operating rights to use public property, granted to a business enterprise by a governmental agency.
- d Rights, priviliages, and competitive advantages that result from the ownership of long-lived assets that do not possess physical substance
- e The allocation of the cost of an intangible asset to expense over its useful life in a systematic and rational matter
5 Multiple Choice Questions
- Depreciation method in which useful life is expressed in terms of the total units of production or use expected from an asset
- Tangible resources that are used in the operations of the business and are not intended for sale to customers.
- Expenditures that are immedietely charged against revenues as an expense.
- Exclusive grant from the federal government that allows the owner to reproduce and sell an artistic or published work
- Expenditures to maintain the operating efficiency and productive life of a unit.
5 True/False Questions
Depreciable cost → The cost of a plant asset minus salvage value
Natural Resources → Expenditures that increase a company's investment in productive facilities.
Patent → Operating rights to use public property, granted to a business enterprise by a governmental agency.
R and D Costs → Expenditures that may lead to patents, copyrights, new processes, or a new products.
Declining-balance method → Depreciation method in which periodic depreciation is the same for each year og the asset's useful life.