An Item of Personal Property May Be Attached to or Used

question 21

True/False

An item of personal property may be attached to or used in conjunction with real property in such a way that it ceases being personal property and instead becomes part of the real property. This type of property is called a debenture.

---

Definitions:

Return on Total Assets

A financial ratio that measures the net income produced by total assets during a period.

Interest Expense

The cost incurred by an entity for borrowing funds, represented as an expense on the income statement.

Preferred Stock Dividends

Payments made to holders of preferred shares, typically at a fixed rate and before any dividends are paid to common stockholders.

Common Stockholders' Equity

The portion of a company's equity that is attributable to its common shareholders, including retained earnings and paid-in capital.