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Which of the following would be classified as a natural resource? A) Patet on an od extration process B) Land held as an investment C

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Which of the following would be classified as a natural resource? A) Patet on an od extration process B) Land held as an investment C Timber purchased by a lumber yard. D) Diamond mine E) Goodwi Amortization is: A) The syYstematic allocation of the cost of a dngible asset to expense over es estimated useful tote B) The process of allocating to expense the cost of a plant asset to the accouting periods benefiting from its use. C) The process of allocatin the cost of natural resqurces to periods when they are consumed D) An accelerated form of expensing an asset's cost- E) Also called depletion. depreciated using the straight-fine method. The machine's useful life is estimated to be 4 years with a S5,000 salvage value. The book value of the machine at the end of year 4 is: 7- Martin Company Durchases a machine at the beginnine of the year at a cost of $60.000. The machine s A) $13,75o. B) $55,00o. C) $30,000. D) $5,000, E) $0. 8. When a company is obligated for sales taxes payable, it is reported as a(n): A) Estimated tiability. B) Contingent liability C) Current liability. D) Business expense. E) Long-term liability. 9. In the accounting records of a defendant, lawsuits: A) Are estimated liabilities. B) Should always be recorded. C) Shouid always be disclosed. On November 1, Alan Company signed a 120-day, 8% note payable, with a face value of $9,000. What is the adjusting entry for the accrued interest at December 31 on the note? (Use 360 days a year.) D) Should be recorded if payment for damages is probable and the amount can be reasonably estimated. E) Should never be recorded. AJ No adjusting entry is required. B) Debit interest payable, $120; credit interest expense, $120. C) Debit Interest Expense, $120; credit Interest Payable, $120. D) Debit Interest Expense, $720; credit Interest Payable, $720. Debit Interest Payable, $240; credit Interest Expense, $240

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