Which of the Following Is an Essential Requirement for an Asset

question 21

Multiple Choice

Which of the following is an essential requirement for an asset to exist for accounting purposes?

• A) An asset must be tangible.
• B) An asset must have been exchanged for another asset.
• C) An asset must be under the control of the entity.
• D) An asset must have been acquired at a cost to the entity.

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Definitions:

Cocaine

A powerful stimulant drug derived from the leaves of the coca plant, notorious for its addictive properties and high potential for abuse.

Psychoactive Drugs

Psychoactive drugs are substances that affect the brain's functioning, altering mood, perception, or consciousness.

Vivid Geometric Images

Brightly colored and detailed visual patterns often experienced during dreaming or visual imagination, characterized by geometric shapes.

LSD

Lysergic acid diethylamide, a powerful hallucinogenic drug that alters perception, mood, and a variety of cognitive processes.