When a Long-Term Asset Is Sold for More Than Its

question 2

True/False

When a long-term asset is sold for more than its book value, the difference represents a gain.

---

Definitions:

Higher Brain Functioning

Complex cognitive processes such as thinking, reasoning, memory, and learning, which are associated with the brain's cerebral cortex.

Two-Factor Theory

A theory on emotion that suggests emotions are based on physiological arousal and cognitive interpretation of that arousal.

Stimuli

External events or circumstances that evoke a response from an organism.

Feared

An emotion or feeling of apprehension or dread towards a specific object, situation, or outcome.