Name: Chaptor 9143 10. Which of the following items would not be considered an intangible asset? " a mineral ore deposits b. patent c. copyright d. goodwill TRUE/FALSE Instructions: by placing a check mark in the appropriate column. Indicate whether each of the following statements is true or false True False 1. The double-declining-balance method provides for a higher depreciation charge in the first year of use of the asset, followed by a gradually declining periodic charge 2. The method of depreciation which yields a depreciation charge that varies with the amount of asset usage is known as the units-of-production method. 3. In using the double-declining-balance method, the asset should not be depreciated below the net book value....... 4. Accelerated depreciation methods are most appropriate for situations in which the decline in productivity or earning power of the asset is proportionately greater in the early years of its use than in later years ,-....................... 5. MACRS depreciation methods permit the use of asset lives that are often much shorter than the actual useful life. 6. When a fixed asset is sold, proper accounting treatment prohibits recognition of a gain or loss. 7. A lease that transfers ownership of the leased asset to the lessee at the end of the lease term should be classified as an operating lease... 8. Long-lived assets that are without physical characteristics but useful in the operations of a business are classified as fixed assets 9. Fully depreciated assets should be retained in the accounting records until disposal has been authorized and they are removed from service. 10. Intangible assets are usually reported on the balance sheet in the current asset