Reference no: EM132785506

Problem 1: Once recognized, intangible assets can be carried at

A. Revalued amount less accumulated amortization

B. Cost less accumulated amortization and impairment losses

C. Cost less accumulated amortization

D. Cost plus a notional increase in fair value since the intangible asset is acquired

Problem 2: The cost of purchasing patent rights for a product that might otherwise have seriously competed with one of the purchaser's patented products should be

A. Amortized over the remaining estimated life of the original patent covering the product whose market would have been impaired by competition from the newly patented product.

B. Added to factory overhead and allocated to production of the purchaser's product.

C. Amortized over the legal life of the purchased patent.

D. Charged to expense in the period of purchase.