A Company Maintains the Asset Account, Cash in Bank, on Its

question 97

Multiple Choice

A company maintains the asset account, Cash in Bank, on its books, while the bank maintains a reciprocal account that is

• A)a contra asset account.
• B)a liability account.
• C)also an asset account.
• D)a stockholders' equity account.

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Definitions:

Chattels

Personal property or movable possessions, as opposed to real property which includes land and buildings.

Intangible Property

Assets that do not have a physical presence yet hold value, such as intellectual property, copyrights, patents, and trademarks.

Chose in Action

A personal right to property which can only be claimed or enforced through legal action, not by taking physical possession.

Intellectual Property

Refers to creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names, and images used in commerce.