Which of the Following Are Criteria for Determining Whether to Record

question 175

Multiple Choice

Which of the following are criteria for determining whether to record an asset as a fixed asset?

• A) must be an investment and long-lived
• B) must be long-lived and used by the company in its normal operations
• C) must be short-lived and tangible
• D) must be tangible and an investment

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Definitions:

Theory of Reasoned Action

A theory that predicts an individual's intention to engage in a behavior at a specific time and place, based on the attitude toward the behavior and subjective norms.

Predicting Behaviour

The process of forecasting individuals' actions based on factors such as past behavior, psychological tendencies, or situational variables.

Original Fishbein Model

An attitude model suggesting that an individual's attitude towards an object is a function of their beliefs about and evaluation of several of its attributes.

Descriptive Norm

Norms that convey information about what is commonly done in specific situations.