The Factor That Distinguishes Fixed Assets Such as Property, Plant

question 18

Multiple Choice

The factor that distinguishes fixed assets such as property, plant and equipment from other assets is the:

• A) intention to sell the asset.
• B) fact that they have a physical existence.
• C) fact that the asset will provide future benefits.
• D) intention to use the asset for the future production of goods and services.

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Definitions:

Clayton Act

A U.S. antitrust law enacted in 1914 to prevent anti-competitive practices and monopolies, supplementing the Sherman Antitrust Act.

Channel Members

Businesses or individuals involved in the process of making a product or service available for use or consumption by a consumer or business user.

Tying Arrangement

A sales practice where the seller requires the buyer to purchase a secondary product as a condition of buying a primary product, often scrutinized under antitrust laws.

Franchisor

A franchisor is a company that grants an individual or group the rights to run a business location using its brand, business model, and guidelines.