INTERMEDIATE FINANCIAL ACCOUNTING
FINAL EXAM PRACTICE ONE EXAM WITH
SOLVED ANSWERS (latest
update)2024/2025 GRADED A+!!
Cash or cash equivalent price ANSWER Best measure of property, plant, and equipment's value on
acquisition
Cost of property, plant, and equipment ANSWER Excludes expenditures incurred after the asset's
acquisition
Capitalization of costs ANSWER Occurs if costs incurred after asset acquisition provide future benefits
Depreciation ANSWER Does not reflect decline in value associated with plant assets
Declining-balance depreciation method ANSWER Considers salvage value in computing depreciation for
final year(s)
Costs to create intangibles ANSWER Generally not the basis for recording intangible assets
Recoverability test ANSWER Used for indefinite-life intangibles to determine impairment
Unremitted social security tax ANSWER Reported as current liability by employer
Characteristics of property, plant, and equipment ANSWER Subject to depreciation, physical substance,
not acquired for resale
FINAL EXAM PRACTICE ONE EXAM WITH
SOLVED ANSWERS (latest
update)2024/2025 GRADED A+!!
Cash or cash equivalent price ANSWER Best measure of property, plant, and equipment's value on
acquisition
Cost of property, plant, and equipment ANSWER Excludes expenditures incurred after the asset's
acquisition
Capitalization of costs ANSWER Occurs if costs incurred after asset acquisition provide future benefits
Depreciation ANSWER Does not reflect decline in value associated with plant assets
Declining-balance depreciation method ANSWER Considers salvage value in computing depreciation for
final year(s)
Costs to create intangibles ANSWER Generally not the basis for recording intangible assets
Recoverability test ANSWER Used for indefinite-life intangibles to determine impairment
Unremitted social security tax ANSWER Reported as current liability by employer
Characteristics of property, plant, and equipment ANSWER Subject to depreciation, physical substance,
not acquired for resale
