1 DOC INT ACCT QUIZ 1

1 DOC INT ACCT QUIZ 1 - capitalized. Coding comes under...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
INTERMEDIATE ACCOUNTING II QUIZ WEEK 1 1. Question: (TCO C) Which of the following should not be reported in the income statement? Your Answer: Goodwill amortization. CORRECT Trade name amortization expense. Patent impairment losses All of the above. Instructor Explanation: Goodwill is not amortized. Purchase of trade name (with a definite period of time) could result in trade name amortization. Chapter 12, pg 610 (see illustration). Points Received: 4 of 4 2. Question: (TCO C) Which of the following costs incurred with developing computer software for internal use should be capitalized? Your Answer: Evaluation of alternatives. Coding. CORRECT ANSWER Training. Maintenance. Instructor Explanation: Software development for internal use is not R&D and, thus, can be
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: capitalized. Coding comes under this definition. Chapter 12. Page 608. Additional commentary on pages 614-617. Points Received: 0 of 4 3. Question: (TCO C) Alonzo Co. acquires three patents from Shaq Corp. for a total of $360,000. The patents were carried on Shaq's books as follows: Patent AA: $5,000; Patent BB: $2,000; and Patent CC: $3,000. When Alonzo acquired the patents, their fair market values were: Patent AA: $20,000; Patent BB: $240,000; and Patent CC: $60,000. At what amount should Alonzo record Patent BB? Your Answer: $120,000 $240,000 $2,000 $270,000 CORRECT ANSWER Instructor Explanation: $360,000 X ($240,000 / $320,000) = $270,000. Chapter 12 Points Received: 0 of 4 4. Question:...
View Full Document

Page1 / 2

1 DOC INT ACCT QUIZ 1 - capitalized. Coding comes under...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online