Which of the Following Is Allowed Under Generally Accepted Accounting

question 35

Multiple Choice

Which of the following is allowed under generally accepted accounting principles?

• A) A company was offered $60,000 for land that it had purchased for $15,000.The company did not sell the land but increased the Land account to $60,000.
• B) An owner lists the full cost of his or her personal automobile,which is occasionally used for business purposes,on the company's balance sheet.
• C) A large company recorded the $20 cost of a tool as an expense,although the item is expected to be used for 3 years.
• D) The Equipment account shows a balance of $55,000.This amount represents the original cost of $75,000 less the accumulated depreciation of $20,000.

---

Definitions:

Harvesting Stem Cells

The process of collecting stem cells for research or medical treatment, which may involve extraction from embryos, bone marrow, or other sources.

Effective Treatments

Medical or therapeutic methods proven through research and experience to be beneficial in the healing or management of illnesses and conditions.

Karen Quinlan Case

A landmark legal case in the United States that focused on the right to die and the ethical issues surrounding life support and comatose patients.

Quality of Life

The general well-being of individuals and societies, encompassing both material and immaterial facets such as health, comfort, and happiness.