Which of the Following Statements About Intangible Assets Is INCORRECT

question 89

Multiple Choice

Which of the following statements about intangible assets is INCORRECT?

• A) They are capital assets that have no physical substance.
• B) Intangibles with finite lives are amortized but not tested for impairment.
• C) Intangibles with indefinite lives are not amortized but are tested for impairment.
• D) Internally recognized intangibles are never recognized on the statement of financial position.

---

Definitions:

Body Dysmorphic Disorder

Body Dysmorphic Disorder is a mental health condition characterized by an obsessive focus on perceived flaws in one's appearance, which are often unnoticeable to others.

Psychological Disorders

Conditions characterized by abnormal thoughts, feelings, or behaviors that significantly interfere with daily life and functioning.

Distress

Negative stress that can result in anxiety or concern, often leading to decreased performance and mental strain.

Significant Impairment

A considerable reduction or deterioration in the ability to perform normal functions or activities, often used in clinical contexts.