Which of the Following Is Not True Regarding the Accounting

question 7

Multiple Choice

Which of the following is not true regarding the accounting for the cost of intangibles per GAAP? $\begin{array}{lll}&\text { Category }&\text { Account for cost by}\\ \text { I. } & \text { Purchased identifiable intangibles } & \text { Capitalizing all cost } \\ \text { II. } & \text { Purchased uniclentifiable intangibles } & \text {Capitalizing all cost } \\ \text {III.} & \text { Internally developed identifiable intangibles } & \text { Capitalizing all cost } \\ \text {IV.} & \text { Internally developed uridentifiable intangibles} & \text { Expensing all costs} \\\end{array}$

• A)I
• B)II
• C)III
• D)IV

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Definitions:

Goodwill

An intangible asset that arises when a business is acquired for more than the fair value of its identifiable assets, often associated with the company's brand, reputation, and customer relationships.

Passive Voice

A sentence construction where the subject of the sentence is acted upon, often deemphasized action doers and focusing on the action itself.

Supplier Delay

A situation where a supplier fails to deliver goods or services on time, potentially causing disruptions in the supply chain.

Positive Handling

The practice of managing situations or interactions in an optimistic and constructive manner, focusing on positive outcomes.