Question 4 (1 point) paid byltocal comay maintenance should be capitalized as long as it does not exceed the average cost paid by local competitors for similar repairs. True False Question 6 (1 point) Under the full costing approach, which of the following costs are capitalized for self-constructed assets? Direct costs only, the total not to exceed the standard labor cost determined annually by the Department of Labor Indirect costs only, the total not to exceed the weighted average cost of existing assets of similar nature All direct and all indirect costs, the total not to exceed what an independent outsider would charge for the job All direct costs and a portion of indirect costs, the total not to exceed what an independent outsider would charge for the job Question 8 (1 point) Which of the following is not a condition that must be satisfied before interest capitalization can begin on a qualifying asset? Interest cost is being incurred. Expenditures for the assets have been made. The interest rate is equal to or greater than the company's weighted average cost of capital. Activities that are necessary to get the asset ready for its intended use are in progress None of the above. Saved Question 9 (1 point) When an exchange has commercial substance and the company receives some cash... gains or losses are recognized in their entirety. o..a gain or loss is computed by comparing the fair value of the asset received with the fair value of the asset given up. ...only gains should be recognized. ..only losses should be recognized. Question 10 (1 point) On 5/1 a company decides to replace their computers. The old computers have a historical cost of $9,000 and, on 5/1, accumulated depreciation of $7,800. The new computers cost $13,400, paid in cash immedi iately. The company manages to sell a few components of the old computers to several independent hardware stores for $700, received on the same day. Which of the following is true? A loss is debited for $500 The net gain on the transaction is $700 Accumulated Depreciation is credited for $7,800 The book value of the new computers is $12.700