Aspen, Inc. developed a new horse transport device and incurred research and development costs of $250,000. Rather than continue with its own research, Aspen decided to purchase a patent for a similar design from Vail, Inc. for $350,000. What are the total assets and expenses for these developments?
A. Assets $600,000; Expenses $0.
B. Assets $250,000; Expenses $350,000.
C. Assets $0; Expenses $600,000.
D. Assets $350,000; Expenses $250,000.
Answer: D
You might also like to view...
Project management appears to be ideally suited for a business environment requiring accountability, flexibility, innovation and repeatability.
Answer the following statement true (T) or false (F)
Answer the following statements true (T) or false (F)
1. The operating plan identifies clear targets such as revenues and cash flow. 2. Southwest Airlines' goal of being highly profitable is a tactical goal. 3. Southwest Airlines' goal of making arrival times more reliable is a tactical goal. 4. Policies, procedures, and rules are types of single-use plans.
________ brand equity is the differential effect that brand knowledge has on consumer response to the marketing of that brand
A) Mission-driven B) Customer-based C) Product-driven D) Service-driven E) Function-based
Answer the following statements true (T) or false (F)
1. The United Way Payable account would normally be shown on the balance sheet under current liabilities. 2. FICA—OASDI Taxes Payable would normally be shown on the balance sheet under long-term liabilities. 3. Federal Unemployment Taxes Payable is typically shown on the balance sheet under the long-term liabilities section. 4. The Current Portion of Long-Term Notes Payable would normally be shown on the balance sheet under current liabilities. 5. The Employee Bonus Payable would normally be shown on the balance sheet under long-term liabilities.