Which of the Following Statements Is True with Respect to Intangible

question 98

Multiple Choice

Which of the following statements is true with respect to intangible assets?

• A)Goodwill is an intangible asset that is amortized and tested for impairment.
• B)Intangible assets are amortized over a period of 50 years.
• C)Intangible assets should be evaluated each year to determine if there has been any impairment in their value.
• D)Intangible assets are expensed to income in the year they are acquired.
• E)An intangible asset is recorded at market value when the asset is acquired.

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Definitions:

Deficit

The amount by which expenses or costs exceed income or revenues, especially in the context of government budgets.

Surplus

A condition where the quantity supplied of a good exceeds the quantity demanded at the current price.

Inflation

The pace at which average prices for products and services climb, reducing the value of money.

U.S. Exports

Products and services created in the United States and exported to foreign nations.