The Net Amount Shown on a Balance Sheet for an Intangible

question 80

Multiple Choice

The net amount shown on a balance sheet for an intangible asset with an unlimited life should be:

• A)the price for which it could be sold.
• B)its book value or impaired fair value,whichever is lower.
• C)its purchase price minus accumulated amortization.
• D)its purchase price adjusted for inflation.

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Definitions:

Sensorimotor Conditioning

A learning process in young children that involves mastering the integration of sensory information with motor responses, fundamental to cognitive development.

Organized Patterns

Structured sequences or arrangements of ideas, actions, or events that follow a consistent and recognizable order.

Circular Reactions

Repetitive behaviors in young children that serve to explore their environment and understand cause-and-effect relationships, part of cognitive development.

Representational Ability

Piaget’s term for capacity to store mental images or symbols of objects and events.