Asset recognition and valuation. The transactions listed below relate to IBM Corporation, a manufacturer of electronic equipment. Indicate whether or not each transaction immediately gives rise to an as.set of IBM Coi-poration under GAAP. If accounting recognizes an asset, give the account title and amount.

a. The firm invests $8,000,000 in a government bond. The bond has a maturity value of $10,000,000 in three years, and IBM intends to hold the bond to maturity.

b. The firm sends a check for $600,000 to a landlord for two months' rent in advance on warehouse facilities.

c. The firm writes a check for $1,000,000 to obtain an option to purchase a tract of land. The price of the land is $10,000,000.

d. The firm signs a four-year employment agreement with its president for

$2,500,000 per year. The contract period begins next month.

e. The firm purchases a patent on a laser printer from its creator for $1,200,000.

f. The firm receives a patent on a new computer processor that it developed. The firm spent $3,200,000 to develop the patented invention.

g. The firm received notice that a supplier had shipped by freight memory chips billed at $12,000,000, with payment due in 30 days. The seller retains title to the memory chips until received by the buyer.