Long-Term Operating Assets Have Value Because They Are Expected to

question 62

Multiple Choice

Long-term operating assets have value because they are expected to

• A) Help a company generate expenses this period
• B) Help a company generate cash flows this period
• C) Help a company generate expenses in the future
• D) Help a company generate cash flows in the future

---

Definitions:

Subsurface Material

Material located beneath Earth's surface, including soil, rock, and underground water resources, which are accessible through drilling or excavation.

Saturated Zone

The part of the earth's crust where the pores and fractures are filled with water, below the water table.

Pore Spaces

Voids or gaps within a material or soil, which can contain air or fluids.

Water Table

The upper surface of the zone of saturation in the ground, below which the soil, gravel, or rock is saturated with water.