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vekshin1
3 years ago
6

A purchased limited-life intangible asset ________ amortized and is impairment tested using ________. (a)is; the recoverability

test and then the fair value test.(b)is not; the fair value test only.(c)is not; the recoverability test and then the fair value test.(d)is; the fair value only.
Business
1 answer:
Pani-rosa [81]3 years ago
7 0

Answer: Option A

Explanation: Assets having no physical existence are called intangible assets for example :- goodwill, patent rights.

Amortization can be defined as the method of distributing the value of intangible assets over its useful life, thus for amortization the asset must have a definite life.

While amortizing , first its recoverability is evaluated by comparing fair value with carrying value and after that the difference in both is calculated.

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Maybe a stronger WiFi Router
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Nutech Corp. is expecting the following cash flows—$79,000, $112,000, $164,000, $84,000, and $242,000—over the next five years.
Alja [10]

Answer:

$429,560

Explanation:

Present value will be calculated through the PV formula,

PV = \frac{C1}{1+r}  + \frac{C2}{(1+r)^{2} } + \frac{C3}{(1+r)^{3}} + \frac{C4}{(1+r)^{4}} + \frac{C5}{(1+r)^{5}}

r = 15%

C1 = $79,000 ,C2 = $112,000 ,C3 = $164,000 ,C4 = $84,000 ,C5 = $242,000

Substituting the values in the formula,

PV = \frac{79,000}{1.15}  + \frac{112,000}{(1.15)^{2} } + \frac{164,000}{(1.15)^{3}} + \frac{84,000}{(1.15)^{4}} + \frac{242,000}{(1.15)^{5}}

PV = 68,695.66 + 84,688 + 107,838 + 48,030.2 + 120,338.14

PV = $429,560

The present value of the cash flows of Nutech Corp. over the next five years is $429,560.

8 0
3 years ago
Which of the following are objects that can fulfill needs or wants?
ycow [4]

Answer:

the word objects makes me think B. also, wants can be fulfilled by objects, not tools or economics.

Explanation:

6 0
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Why is childhood an important time?
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4 0
3 years ago
Audits may be characterized as
hammer [34]

Answer:

(a) 2 and 9

(b) 5, 6 and 7

(c) 1, 4 and 8

(d) 3

Explanation:

(a) financial statement audits,

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4 0
3 years ago
Read 2 more answers
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