When Conair Adds an Electrical Component That Automatically Shuts Off

question 150

Multiple Choice

When Conair adds an electrical component that automatically shuts off its curling irons when they have been left on for more than one hour, this improvement would best be classified as a(n)

• A) product line extension.
• B) quality modification.
• C) aesthetic modification.
• D) market extension.
• E) functional modification.

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Definitions:

U.S. Federal Income Tax

The financial charge imposed annually by the Internal Revenue Service on the income of individuals, corporations, trusts, and various legal entities.

Depreciating Assets

Assets that lose value over time due to use, wear and tear, or obsolescence, such as machinery, vehicles, and buildings.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset since it was put into use, reducing its book value on the balance sheet.