Answer the following statements true (T) or false (F)
1. An intangible asset is an asset with no physical form that is valuable because of the special rights it carries.
2. The intellectual property of a business is easy to measure.
3. Impairment of an intangible asset occurs when the book value of an asset is less than the fair value.
4. Amortization is the process by which businesses spread the allocation of an intangible asset's cost to expense over its useful life.
1. TRUE
2. FALSE
Explanation: The intellectual property of a business is difficult to measure.
3. FALSE
4. TRUE
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Scranton Company expects to begin operating on July 1, Year 1. The company's master budget contained the following operating expense budget: JanuaryFebruaryMarchSalary expenses$36,000 $36,000 $36,000 Sales commissions, 5% of sales 30,000 32,000 24,000 Utilities 2,800 2,800 2,800 Depreciation on store equipment 1,000 1,000 1,000 Rent 7,200 7,200 7,200 Miscellaneous 1,800 1,800 1,800 Total operating expenses$78,800 $80,800 $72,800 Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of commissions payable that would appear on the company's pro forma balance sheet as of September 30,
Year 1 is: A. $30,000. B. $36,000. C. $24,000. D. $32,000.
Since the majority of Angie's prospects are strangers who walk up to her counter out of the blue, what is the most important preparation Angie should do for the presentation?
A) Learn her products and how to give excellent facials and makeovers. B) Practice the standardized presentation script. C) Proofread her PowerPoint presentation to guarantee good grammar and spelling. D) Quickly search for the prospect on the Internet to glean basic information. E) Assume the prospect has never used makeup before.
The Justice for Janitors Campaigns:
A. Embrace a business union model B. Focus on political lobbying and campaign funding C. Try to create a broad social movement to raise public awareness D. Engage in fortress unionism
Which of the following items should NOT be included in a well-drafted independent contractor agreement?
a. a requirement that the worker hire his own assistants b. a requirement that the firm provide health insurance for the worker c. a flat fee payment arrangement for the work d. a requirement that workers pay their own expenses