If a Fixed Asset with an Original Cost of $18,000

question 27

Multiple Choice

If a fixed asset with an original cost of $18,000 and accumulated depreciation of $2,000 is sold for $15,000, the company must:

• A) recognize a loss on the income statement under other expenses.
• B) recognize a loss on the income statement under operating expenses.
• C) recognize a gain on the income statement under other revenues.
• D) recognize a gain on the income statement under revenues.

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Definitions:

Intelligence Testing

The assessment of an individual's mental abilities and cognitive capacities through a variety of tasks and questions.

Giftedness

An exceptional level of ability, creativity, or talent that significantly surpasses the norm for a child's age and cultural background.

Mental Retardation

An outdated and insensitive term, now referred to as Intellectual Disability, indicating significant limitations in intellectual functioning and adaptive behavior.

Cattell-Horn-Carroll Model

A psychological theory that attempts to describe human intelligence and cognitive abilities through a hierarchical structure of factors.