Acc 231 Chapter 7 Question and answers
100% || Graded A+|| LATEST UPDATE!!!
As natural resources are used, their cost is allocated to an expense through a process
known as _____________blank.
depletion
depreciation
impairment
amortization -CORRECTANSWER depletion
An attorney adds an air purification system to his office building. The addition:
does not increase future benefits and should be capitalized.
does not increase future benefits and should be expensed.
increases future benefits and should be capitalized.
increases future benefits and should be expensed. -CORRECTANSWER increases
future benefits and should be capitalized.
The exclusive legal right to manufacture a product or to use a process is called a(n) -
CORRECTANSWER patent
depreciation -CORRECTANSWER The allocation of the cost of a tangible fixed asset
100% || Graded A+|| LATEST UPDATE!!!
As natural resources are used, their cost is allocated to an expense through a process
known as _____________blank.
depletion
depreciation
impairment
amortization -CORRECTANSWER depletion
An attorney adds an air purification system to his office building. The addition:
does not increase future benefits and should be capitalized.
does not increase future benefits and should be expensed.
increases future benefits and should be capitalized.
increases future benefits and should be expensed. -CORRECTANSWER increases
future benefits and should be capitalized.
The exclusive legal right to manufacture a product or to use a process is called a(n) -
CORRECTANSWER patent
depreciation -CORRECTANSWER The allocation of the cost of a tangible fixed asset
