For Each Cost That Appears in Items 1 Through 6

question 45

Essay

For each cost that appears in items 1 through 6 below, select the account in which it would be included and reported from those listed in a through
c. You may use more than one answer for each cost. If the cost is not capitalized, place an X in the space provided.
_____ 1. Installation costs of a special attachment to newly acquired equipment
_____ 2. Freight costs for shipping the equipment into our manufacturing facility
_____ 3. Costs of repairing a hole knocked in the wall during installation of new equipment
_____ 4. Interest costs on a mortgage loan used to purchase a newly acquired building
_____ 5. Property taxes paid on land for the current year on which a new building was erected
_____ 6. Training session to teach faculty how to use computer projection equipment recently installed in classrooms

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Definitions:

Volatile Storage

A type of memory that requires power to maintain the stored information; it loses its data when power is turned off.

CPU Speed

The speed at which a computer's central processing unit (CPU) executes instructions, typically measured in Hertz (Hz); it determines the efficiency and performance of the computer's processing power.

Quad-Core Processor

A central processing unit (CPU) with four independent cores that can read and execute instructions.