Fundamental Accounting Principles
Volume II 17th Edition
by Larson Ch09
Version 1
1
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1)
Property, plant and equipment are assets held for sale.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Topic : 09-01 Property, Plant, and Equipment (PPE)
Bloom's : Remember
Difficulty : Easy
2)
Non-current assets can be divided into two groups including tangible and intangible
assets. These assets are generally used in operations of a business and have useful lives
extending over more than one accounting period.
, ⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Topic : 09-01 Property, Plant, and Equipment (PPE)
Bloom's : Remember
Difficulty : Medium
3)
Land purchased as a building site is a tangible asset called property, plant and equipment
and is classified under the "Long-term Investments" section on the balance sheet.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Topic : 09-06 Land
Difficulty : Hard
DOWNLOAD THE Test Bank for Fundamental Accounting Principles Volume 2
17th Edition Larson
nursytestbank.store
Fundamental Accounting Principles Volume II 17th Edition
by Larson Ch09
Version 1
, 2
4)
The cost of an asset includes all normal and reasonable expenditures necessary to get the
asset in place and ready for its intended use.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Difficulty : Easy
Topic : 09-02 Cost of PPE
5)
If a machine is damaged during unpacking, the repairs are added to its cost.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Difficulty : Easy
Topic : 09-02 Cost of PPE
, 6)
To be charged to and reported as part of the cost of property, plant and equipment, an
expenditure must be normal, reasonable, and necessary in preparing the asset for its
intended use.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Difficulty : Medium
Topic : 09-02 Cost of PPE
7)
The purchase of real estate that includes land, building, and land improvements is called a
lump-sum purchase.
DOWNLOAD THE Test Bank for Fundamental Accounting Principles Volume 2
17th Edition Larson
nursytestbank.store
Fundamental Accounting Principles Volume II 17th Edition
by Larson Ch09
Version 1
3
Volume II 17th Edition
by Larson Ch09
Version 1
1
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1)
Property, plant and equipment are assets held for sale.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Topic : 09-01 Property, Plant, and Equipment (PPE)
Bloom's : Remember
Difficulty : Easy
2)
Non-current assets can be divided into two groups including tangible and intangible
assets. These assets are generally used in operations of a business and have useful lives
extending over more than one accounting period.
, ⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Topic : 09-01 Property, Plant, and Equipment (PPE)
Bloom's : Remember
Difficulty : Medium
3)
Land purchased as a building site is a tangible asset called property, plant and equipment
and is classified under the "Long-term Investments" section on the balance sheet.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Topic : 09-06 Land
Difficulty : Hard
DOWNLOAD THE Test Bank for Fundamental Accounting Principles Volume 2
17th Edition Larson
nursytestbank.store
Fundamental Accounting Principles Volume II 17th Edition
by Larson Ch09
Version 1
, 2
4)
The cost of an asset includes all normal and reasonable expenditures necessary to get the
asset in place and ready for its intended use.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Difficulty : Easy
Topic : 09-02 Cost of PPE
5)
If a machine is damaged during unpacking, the repairs are added to its cost.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Difficulty : Easy
Topic : 09-02 Cost of PPE
, 6)
To be charged to and reported as part of the cost of property, plant and equipment, an
expenditure must be normal, reasonable, and necessary in preparing the asset for its
intended use.
⊚
true
⊚
false
Question Details
Accessibility : Keyboard Navigation
Learning Objective : 09-01 Describe property, plant, and equipment (PPE) and calculate
their cost.
Bloom's : Remember
Difficulty : Medium
Topic : 09-02 Cost of PPE
7)
The purchase of real estate that includes land, building, and land improvements is called a
lump-sum purchase.
DOWNLOAD THE Test Bank for Fundamental Accounting Principles Volume 2
17th Edition Larson
nursytestbank.store
Fundamental Accounting Principles Volume II 17th Edition
by Larson Ch09
Version 1
3
