Question 31

Q: A company purchases a patent for $90,000 on July 1, 2021. The patent's useful life at time of purchase is 15 years. How much amortization expense should the company record for calendar year 2021?

	A.	7,500
	B.	7,000
	C.	6,500
	D.	6,000

1 points

Question 32

Q: ABC Corp. has 110 units of inventory. 50 were purchased on April 15 and have a unit cost of $5.00. 60 were purchased on May 1 and have a unit cost of $5.20. On May 3, ABC sells 55 units of this product. Using the LIFO (last-in, first out) cost flow assumption, what is the ending value of inventory (55 units)?

	A.	277.50
	B.	276.50
	C.	276
	D.	275

1 points

Question 33

Q: Which of the following is never capitalized?

	A.	Patent
	B.	Trademark
	C.	Research and development
	D.	Copyright