Reference no: EM132767111

Questions -

Q1. Coca-Cola's famous name printed in distinctive typeface is an example of:

A. A trademark.

B. A patent.

C. A copyright.

D. Goodwill.

Q2. When a depreciable asset is sold at a price equal to its book value, a journal entry would include

A. A credit to the asset account for its book value

B. A debit to accumulated depreciation

C. A credit to accumulated depreciation

D. A credit to cash

Q3. All of the following assets are amortized except:

A. Patents

B. Franchises

C. Copyrights

D. Natural resources

Q4. An asset which costs $18,800 and has accumulated depreciation of $6,000 is sold for $11,600. What amount of gain or loss will be recognized when the asset is sold?

A. A gain of $1,200

B. A loss of $1,200

C. A loss of $7,200

D. A gain of $7,200

Q5. The book value of PPE assets (other than land):

A. Increases with the passage of time.

B. Decreases with the passage of time.

C. Remains the same with the passage of time.

D. May increase or decrease depending upon the economy.