Reference no: EM132623684

Problem 1: The present value of expected future earnings of a business in excess of the earnings normally realized in the industry. Recorded when a business entity is purchased at a price in excess of the fair value of its net identifiable assets (excluding goodwill) less liabilities..................

Problem 2: Which accounting principle requires that interest expense, or any expense for operations during a specific period, be recorded in that period?

A. Materiality principle

B. Going-concern principle
C. matching principle
D. none of the above.

Problem 3: How are unearned revenues classified on the balance sheet?

A. Current Asset

B. Current liability

C. Long term liability