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1.Which is not a required characteristic for a liability to be recognized?

Nonavoidable

Service potential

Incurred

2.

Which of the following is not a general category of shareholders' equity?

Net income

Contributed capital

Noncontrolling interest

Earned capital

3.

An asset is valued by the price that would be received by selling it in an orderly transaction between market participants on the date of measurement. Which measurement method is being used in this case?

Present value

Reliable value

Historical cost

Fair value

Transfer

4.

A balance sheet account that is usually reported at fair value is

Marketable Securities.

Accounts Payable.

Inventory.

Land.

5.

A balance sheet account that is usually reported at present value is

Inventory.

Accounts Payable.

Land.

Note Payable.

6.

Long-term investments include all of the following except

cash surrender value of life insurance policies.

a building held for rental activity.

bonds payable.

sinking funds.

7.

Property, plant, and equipment section of the balance sheet includes all of the following except

intangible assets.

leasehold improvements.

natural resources.

construction in progress.

8.

What is the term for the systematic allocation of the costs of intangible assets to expense?

Impairment

Amortization

Depletion

Depreciation

9.

Which of the following is not an intangible asset?

Brand name

Deferred tax asset

Franchise

Computer software

Which of the following would typically be recorded as an intangible asset with a finite useful life?

Brand name

Goodwill

Franchises

Trademarks

Which of the following would typically be recorded as an intangible asset with a finite useful life?

Brand name

Goodwill

Franchises

Trademarks

10.

The adjusted historical cost of fixed assets, calculated as historical cost minus depreciation, is called

depreciable cost.

net book value.

amortization.

impairment.

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