How Will the Money Spent on Developing Intangible Assets, Such

question 20

Multiple Choice

How will the money spent on developing intangible assets, such as a patent, normally be recorded?

• A)As an expense when incurred.
• B)As a prepaid asset.
• C)As an intangible asset and not amortized.
• D)As an intangible asset and amortized over its useful life.

Differentiate between adjusted and unadjusted trial balances and their purposes.

Calculate net income or net loss from work sheet columns.

Recognize the necessity of adjusting entries in the journal and ledger and their reflection in financial statements.

Know the components and the preparation of the balance sheet and income statement from work sheet data.

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Definitions:

Federal Government

The national government of a federal country, where powers are divided between the central authority and constituent political units.

Provoking War

The act or strategy of taking actions or making statements that are likely to lead to war.

Jefferson Davis

The President of the Confederate States of America during the American Civil War from 1861 to 1865.

Centralization

The concentration of administrative power and decision-making authority in a central location or governing body.