1.The cost of a plant asset is recognized: a. in the period in which it is sold. b. in the period in which it is acquired. c. when it is paid for. d. as it yields benefits to the company.

2.Depreciation expense: a. may be computed either annually or once over the life of the asset b. must be computed once over the life of the asset c. may be computed either annually or for shorter periods, but not both d. must be computed annually, but may also be computed for shorter periods