The Cost of a Long-Term Asset Is Expensed

question 24

Multiple Choice

The cost of a long-term asset is expensed

• A)in the period in which it is sold.
• B)in the period in which it is acquired.
• C)as the asset benefits the company.
• D)when it is paid for.

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Definitions:

Strategic Business Unit

A semi-autonomous division or unit of a company that focuses on a specific market or product line, having its own strategy and objectives.

Lifetime Value

The total net profit a company expects to make from a customer over the entire duration of their relationship.

Operational Excellence

An element of organizational leadership that stresses the application of a variety of principles, systems, and tools toward the sustainable improvement of key performance metrics.

Control Phase

The control phase is part of a process or project management cycle focused on monitoring, evaluating, and making necessary adjustments to ensure desired outcomes.