The Acquisition Cost of an Intangible Asset Is Amortized Over

question 71

Short Answer

The acquisition cost of an intangible asset is amortized over its legal life or----------- life, whichever is shorter.

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Definitions:

Necessaries

That which is reasonably necessary for a minor’s proper and suitable maintenance, in view of the income level and social position of the minor’s family.

Reasonable Value

The fair or market value of goods or services, assessed based on what a reasonable buyer would be willing to pay under similar circumstances.

Lacked Capacity

Refers to a situation where an individual does not have the legal ability to enter into a binding contract, often due to age, mental condition, or intoxication.

Mental Impairment

A condition that significantly affects one's cognitive functions, potentially impacting daily living and activities.