1- Patents and trademarks are o Amortized o Depleted o Deprecated o Expensed 2- Long-term investments (Assets) of a corporation are o Amortized o Depleted o Deprecated o Not treated as fixed Asset 3- What account type are marketable securities recorded as upon purchases? o Liabilities o Assets o Revenues o Stockholder?s equity 4- If an asset is being sold or exchanged, the gain or loss is always computed by comparing the o Market value and book value o Market value and salvage value o Book value and salvage value o Market value and cost 5- Research and development cost (R&D) are generally o Expensed and become part of the income statement o Listed as ?other intangibles? on the balance sheet o Listed as ?current assets? on the balance sheet o Listed as ?Long-term assets? on the balance sheet 6- A vehicle which cost $40.000 and an accumulated depreciation of $37.000 is sold for $5.000 the resulting gain or loss is o A gain of $2000 o A loss of $2000 o A gain of $5000 o A loss of $3000 7- Natural resources are accounted for using depletion. How much depletion expense is recognized for a company with iron ore rights costing $1,000,000 with an estimated 100,000 ton for ore available, and 42,000 tons of that ore mined this year? o $420,000 o $42,000 o $4200 o $100,000

1- Patents and trademarks are o Amortized o Depleted o Deprecated o Expensed 2- Long-term investments (Assets) of a corporation are o Amortized o Depleted o Deprecated o Not treated as fixed Asset 3- What account type are marketable securities recorded as upon purchases? o Liabilities o Assets o Revenues o Stockholder's equity 4- If an asset is being sold or exchanged, the gain or loss is always computed by comparing the o Market value and book value o Market value and salvage value o Book value and salvage value o Market value and cost 5- Research and development cost (R&D) are generally o Expensed and become part of the income statement o Listed as \"other intangibles\" on the balance sheet o Listed as \"current assets\" on the balance sheet o Listed as \"Long-term assets\" on the balance sheet 6- A vehicle which cost $40.000 and an accumulated depreciation of $37.000 is sold for $5.000 the resulting gain or loss is o A gain of $2000 o A loss of $2000 o A gain of $5000 o A loss of $3000 7- Natural resources are accounted for using depletion. How much depletion expense is recognized for a company with iron ore rights costing $1,000,000 with an estimated 100,000 ton for ore available, and 42,000 tons of that ore mined this year? o $420,000 o $42,000 o $4200 o $100,000 8- A patent costing $500,000 was purchased on July 1. The company expects the patent to be useful for 5 years. How much amortization expense is recognized on December 31 o $100,000 o $50,000 o $25,000 o None, Patents are not amortized 9- The journal entry for the sale of a vehicle for cash with a gain would include which of the following o Debit cash, Debit vehicle, credit gain on sale o Debit cash, Credit vehicle, credit gain on sale o Debit cash, Debit Accumulated depreciation, Credit vehicle, Credit gain on sale o Debit Cash, Credit Accumulated depreciation , Credit vehicle, Credit gain on sales 10- Which of the following is true o Land is depreciated using the straight line method o Land is amortized using the declining balance method o Land is depleted using the units of production method o Land is not depreciated, amortized or depleted