An Intangible Asset May Be Recorded

question 55

Multiple Choice

An intangible asset may be recorded.

• A) If acquired from an external party at a cost.
• B) If it is internally generated and fits the definition of an asset and meets the associated recognition criteria.
• C) At a value other than cost if that value more reliably records the worth of the intangible asset.
• D) At the cost of the asset, which must exclude any additional expenditure required to prepare the asset for use.
• E) If acquired from an external party at a cost, and at the cost of the asset, which must exclude any additional expenditure required to prepare the asset for use.

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Definitions:

Canaliculus

A small, channel-like structure in various parts of the body, such as in bones where it allows for the passage of nutrients and waste between blood vessels and osteocytes.

Osteocyte

A mature bone cell, surrounded by bone matrix, responsible for maintaining and monitoring the bone structure.

Hydroxyapatite

A naturally occurring mineral form of calcium apatite, which is the primary structural component of bone and teeth.

Organic Matrix

The non-mineral component of bone and teeth, composed mainly of collagen, which gives them structure and flexibility.