For each item listed the allocation terminology for the items are as follows:
Amortization: Copyrights, Patents, Trademarks and Annual licensing fees.
Depreciation: Buildings, Equipment and Land Improvements.
Depletion: None.
None of these: Land, Research and Development Costs and Franchises.
<u>Explanation:</u>
Throughout accounting, amortization applies to multiple-period distribution of revenues. The concept is used for two isolated processes: loan amortization and asset amortization. Depreciation is the reduction in asset value and the process used to redeploy or "write down" a tangible asset's expense (like equipment) over its expected life period.
Depletion is a term of accounting and taxation generally used in coal, forestry, petroleum, or other related industries. Depletion is identical to depreciation in that it is an accounting and tax tracking system for cost recovery.
Answer:
the growth of real Gdp is a
Answer:
The correct answer is d) The free-rider problem
.
Explanation:
This term refers to a problem in economics where a person who is known as a stowaway, benefits from using a service or consuming a product without paying anything for it. In this case Kevin should contribute to the radio station, since regardless of whether what was expected in a given period has been raised, just being committed is enough to have the obligation to contribute for the maintenance of the station over time.
Answer:
D) No impact on the accounting equation.
Explanation:
- Nothing would happen since the amount to be received would remain the same i-e $20,000, so there is no chance for increase in liabilities. Moreover, the there is no new services so that asset should be impacted.
- What there has been done is just classifying the payment which the Delta thought that they would receive earlier, but now it is being realized that it will take long, so just to not make any mistake or confusion for future this was done.
