MULTIPLE CHOICE. Choose the one ae question. (60 points) 1) Th e net should be: amount shown on a balance sheet for an intangible asset with an unlimited life A) the price for which it could be sold B) its purchase price minus accumulated amortization C) its purchase price adjusted for inflation. D) its book value or impaired fair value, whichever is lower B) Inventory D) Land improvements 2) Which of the following items would not be considered a long-lived asset? A) Land C) Buildings 3) At the end of the first year of an asset's life, the declining-balance depreciation: A) causes an asset to be carried at a lower book value than that computed using the B) causes an asset to be carried at a higher book value than that computed using the C) causes an asset to be carried at the same book valuc as that computed using the D) cannot be used if the resulting book value will be significantly different from that straight-line method. straight-line method straight-line method which would result from using the straight-line method. 4) If net sales revenue rises 5% while the average book value of fixed assets falls 5%, the: A) fixed asset turnover ratio will fall. B) fixed asset turnover ratio will rise. C) fixed asset turnover ratio will stay the same. D) impact on the fixed asset turnover ratio cannot be determined since the beginning values are unknown. 5) If Company A has a contractual right to sell certain products or services, use certain trademarks, or perform activities in a certain geographical regions, then Company A has: A) a copyright. B) a trademark. C) goodwil. D) a franchise. 6) Extraordinary repairs A) are credited to Accumulated Depreciation. B) are revenue expenditures C) extend an asset's life beyond the original estimate. D) are expensed as incurred. 7) The issuance price of a bond does not depend on the: A) market rate of interest. B) perceived risk associated with the bond. C) method used to amortize the discount or premium. D) face value of the bond