When a Company Purchases Land with a Building on It

question 35

Multiple Choice

When a company purchases land with a building on it and immediately tears down the building so that the land can be used for the construction of a plant,the costs incurred to tear down the building should be

• A) amortized over the estimated time period between the tearing down of the building and the completion of the plant.
• B) expensed as incurred.
• C) added to the cost of the plant.
• D) added to the cost of the land.

---

Definitions:

Carl Rogers

An influential American psychologist who founded the humanistic approach to psychology, emphasizing the importance of the self and the actualization of an individual's potential.

Active Listening

A communication technique that involves giving full attention to the speaker, understanding their message, providing feedback, and responding appropriately.

Echoing

The repetition or imitation of sounds, words, or phrases, often used as a communication technique or learning method.

Clarifying

The process of making a statement or situation less confused and more comprehensible.