Indicate which of the following items could appear as an asset on the balance sheet of a business. Explainyour reasoning in each case. (3 points)

1. 1,000 owed to the business by a credit customer who is unable to pay.
2. A patent, bought from an inventor, that gives the business the right to produce a new product. Production ofthe new product is expected to increase profits over the period during which the patent is held.
3. A recently purchased machine that is already being used by the business but it has been acquired on credit and isnot yet paid for.