Which of the Following Items Is Not Considered an Asset

question 54

Multiple Choice

Which of the following items is not considered an asset?

• A)Patents.
• B)Research expenses of an R&D project.
• C)Equipment under lease where the risks and rewards flows into the entity.
• D)All of the given answers.
• E)Research expenses of an R&D project and equipment under lease where the risks and rewards flows into the entity.

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Definitions:

Rust

A type of fungal disease that affects plants, causing reddish-brown spots, or the oxidation of iron and its alloys resulting in reddish-brown flaking coatings.

Iron

A chemical element with symbol Fe, important in biological processes and industrial applications.

Water

A transparent, tasteless, odorless, and nearly colorless chemical substance that is the principal constituent of Earth's hydrosphere and the fluids of most living organisms.

Van Der Waal Interactions

Weak attractions between molecules or parts of molecules that result from transient local partial charges.