Which of the Following Is Not Included in the Cost

question 16

Multiple Choice

Which of the following is not included in the cost of an internally generated intangible asset?

• A)costs of materials and services used or consumed in generating the intangible asset
• B)fees to register a legal right
• C)expenditure on training staff to operate the asset
• D)amortisation of patents and licences that are used to generate the intangible asset

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Definitions:

Net Income to Net Sales

A financial ratio measuring a company's profitability by comparing net income to net sales.

Relationship

The way in which two or more concepts, objects, or people are connected, or the state of being connected.

Income Statement

A financial statement that shows a company's revenues, expenses, and profits over a specified period of time, indicating the financial performance of the business.

Gross Profit

The difference between sales and the cost of goods sold, representing the fundamental earning efficiency of a company's core activities.