Which of the following is NOT true regarding intangibles? Multiple Choice Goodwill is amortized over its...
Which of the following is NOT true regarding intangibles?
Multiple Choice
-
Goodwill is amortized over its useful life
-
An intangible with a definite life is amortized over the lessor of legal or useful life.
-
Research and Development is expensed right away
-
Intangibles that are developed internally and immaterial in amount may be expensed rather than amortized
Homework Answers
1. Goodwill is amortized over its useful life is not true because goodwill is never amortized due to an indefinite useful life under US GAAP and IFRS. Instead goodwill is valued every year and also check if any impairment is required or not.
2. An intangible with a definite life is amortized over the lessor of legal or useful life is true because intangible assets with finite useful lives are amortized over their legal or useful life, whichever is shorter.
3. Research and Development is expensed right away is true. Under GAAP, companies are required to expense research and development costs in the current period but companies may capitalize some of the software R&D costs.
4. Intangibles that are developed internally and immaterial in amount may be expensed rather than amortized is true because some intangible assets that are developed internally and insignificant (immaterial), it can be expensed rather than amortized
Add Answer to:
Which of the following is NOT true regarding intangibles?
Multiple Choice
Goodwill is amortized over its...
Which of the following statements is false regarding the amortization of intangible assets? Multiple Choice Intangible...
Which of the following statements is false regarding the amortization of intangible assets? Multiple Choice Intangible assets with a limited useful life are amortized. The service life of an intangible asset is always equal to its legal life. The expected residual value of most intangible assets is zero. Goodwill is the most common intangible asset with an indefinite useful life.
All of the following statements regarding IFRS accounting treatments for intangibles are true except: Under IFRS,...
All of the following statements regarding IFRS accounting treatments for intangibles are true except: Under IFRS, costs in the development phase of Research & Development costs are expensed once technological feasibility is achieved. O IFRS permits some capitalization of internally generated intangible assets. O IFRS allows reversal of impairment losses when there has been a change in economic conditions. O IFRS permits revaluation on limited-life intangible assets.
How is goodwill amortized? Multiple Choice It is not amortized for reporting purposes or for tax...
How is goodwill amortized? Multiple Choice It is not amortized for reporting purposes or for tax purposes. ) It is not amortized for reporting purposes, but is amortized over a 5-year life for tax purposes. It is not amortized for tax purposes, but is amortized over a 5-year life for reporting purposes. Oo oo C ) It is not amortized for tax purposes, but is amortized over a 15-year life for reporting purposes. It is not amortized for reporting purposes,...
Goodwill is amortized over a useful life not to exceed 40 years. True False
Goodwill is amortized over a useful life not to exceed 40 years. True False
In accounting, goodwill O May be recorded when a company purchases another business. Is amortized over...
In accounting, goodwill O May be recorded when a company purchases another business. Is amortized over its useful life. O Must be expensed in the period it is recorded because benefits from goodwill are difficult to identify. O May be recorded whenever a company achieves a level of net income that exceeds the industry average.
Question 9 --/2 View Policies Current Attempt in Progress All of the following statements regarding IFRS...
Question 9 --/2 View Policies Current Attempt in Progress All of the following statements regarding IFRS accounting treatments for intangibles are true except: O IFRS permits some capitalization of internally generated intangible assets. O IFRS permits revaluation on limited-life intangible assets. O IFRS allows reversal of impairment losses when there has been a change in economic conditions. Under IFRS, costs in the development phase of Research & Development costs are expensed once technological feasibility is achieved.
. Mark the following statements as True or False then select the corresponding multiple choice answer...
. Mark the following statements as True or False then select the corresponding multiple choice answer All intangible assets purchased by a company are amortized over the lesser of their useful or legal life with no salvage value. Capital expenditures are added to the book value of an asset and depreciated over the remaining life. T_Recording depreciation expense through an adjusting entry is an example of an accrual. A. True, True, True B. True, False, False rue D. False, True,...
Q20 Goodwill is an intangible asset That has a definite life and its cost should be...
Q20 Goodwill is an intangible asset That has a definite life and its cost should be amortized over its useful life. That is recorded when the company has projected earnings in excess of earnings expected for an investment in a similar company in the same industry. That is reviewed for impairment when circumstances indicate that impairment may have occurred. That is reviewed annually to determine whether impairment has occurred.
Intangible assets that have an indefinite useful life: Multiple Choice Are those with no foreseeable limit on the peri...
Intangible assets that have an indefinite useful life: Multiple Choice Are those with no foreseeable limit on the period of time over which the asset is expected to contribute to the cash flows of the entity. Are those with no legal, contractual, or economic factors that are expected to limit their useful life to a company. Are those whose acquisition costs are not amortized over their useful life. All of these answer choices are correct.
Prepare entries to ru n related to acquisition and amortization of intangibles, prepare the intangible assets...
Prepare entries to ru n related to acquisition and amortization of intangibles, prepare the intangible assets section and note 1.SA (LO 4,5), AP The intangible assets section of mato Corporation's balance sheet at December 31 2022, is presented here. Patents (560,000 cost less $6,000 amortization) $54,000 10,800 Copyrights ($36,000 cost less $25,200 amortization) Total $64.800 The patent was acquired in January 2022 and has a useful life of 10 years. The copyright was acquired in January 2016 and also has...
Which of the following statements is false regarding the amortization of intangible assets? Multiple Choice Intangible assets with a limited useful life are amortized. The service life of an intangible asset is always equal to its legal life. The expected residual value of most intangible assets is zero. Goodwill is the most common intangible asset with an indefinite useful life.
All of the following statements regarding IFRS accounting treatments for intangibles are true except: Under IFRS, costs in the development phase of Research & Development costs are expensed once technological feasibility is achieved. O IFRS permits some capitalization of internally generated intangible assets. O IFRS allows reversal of impairment losses when there has been a change in economic conditions. O IFRS permits revaluation on limited-life intangible assets.
How is goodwill amortized? Multiple Choice It is not amortized for reporting purposes or for tax purposes. ) It is not amortized for reporting purposes, but is amortized over a 5-year life for tax purposes. It is not amortized for tax purposes, but is amortized over a 5-year life for reporting purposes. Oo oo C ) It is not amortized for tax purposes, but is amortized over a 15-year life for reporting purposes. It is not amortized for reporting purposes,...
Goodwill is amortized over a useful life not to exceed 40 years. True False
In accounting, goodwill O May be recorded when a company purchases another business. Is amortized over its useful life. O Must be expensed in the period it is recorded because benefits from goodwill are difficult to identify. O May be recorded whenever a company achieves a level of net income that exceeds the industry average.
Question 9 --/2 View Policies Current Attempt in Progress All of the following statements regarding IFRS accounting treatments for intangibles are true except: O IFRS permits some capitalization of internally generated intangible assets. O IFRS permits revaluation on limited-life intangible assets. O IFRS allows reversal of impairment losses when there has been a change in economic conditions. Under IFRS, costs in the development phase of Research & Development costs are expensed once technological feasibility is achieved.
. Mark the following statements as True or False then select the corresponding multiple choice answer All intangible assets purchased by a company are amortized over the lesser of their useful or legal life with no salvage value. Capital expenditures are added to the book value of an asset and depreciated over the remaining life. T_Recording depreciation expense through an adjusting entry is an example of an accrual. A. True, True, True B. True, False, False rue D. False, True,...
Prepare entries to ru n related to acquisition and amortization of intangibles, prepare the intangible assets section and note 1.SA (LO 4,5), AP The intangible assets section of mato Corporation's balance sheet at December 31 2022, is presented here. Patents (560,000 cost less $6,000 amortization) $54,000 10,800 Copyrights ($36,000 cost less $25,200 amortization) Total $64.800 The patent was acquired in January 2022 and has a useful life of 10 years. The copyright was acquired in January 2016 and also has...
Most questions answered within 3 hours.
-
1- What are 5 general characteristics of Botticelli’s
paintings?
2- Describe 5 important traits of Flemish...
asked 1 hour ago -
A golfer claims that his average golf score at the course he
plays regularly is less...
asked 1 hour ago -
On May 1, First Bank perfected a security interest in Debtor’s
inventory. On June 1, Bob...
asked 2 hours ago -
A new kind of typhoid shot is being developed by a medical
research team. The old...
asked 4 hours ago -
Write a chemical equation for these reactions. (Use
the lowest possible whole number coefficients.) Include
states-of-matter...
asked 6 hours ago -
For each of the Z-scores below, determine two probabilities
(show four three decimal places): (1) the...
asked 6 hours ago -
Oxidative phosphorylation is achieved through chemiosmotic
coupling, which turns chemical energy into osmotic potential energy
that...
asked 9 hours ago -
Hollywood Shoes would like to maintain their cash account at a
minimum level of $64,000, but...
asked 9 hours ago -
Proteins CtrA-P, DnaA, and GcrA behave similarly to what
molecule in the Eukaryotic Cell Cycle?
asked 9 hours ago -
TRUE OR FALSE
In case of a competitive tender procedure, in the request for
quotation, the...
asked 9 hours ago -
I am a little behind please provide some explanation, will
provide thumbs up.
This question considers...
asked 9 hours ago -
Let say the utility function as U(X,Y) = lnX + Y. Show that the
marginal rate...
asked 9 hours ago