112. Indicate whether each of the following statements is true or false.
_____ a) MACRS is an accelerated depreciation method commonly used for tax purposes.
_____ b) The half-year convention is a semi-annual meeting of accountants and educators.
_____ c) MACRS requires that the taxpayer ignore the estimated salvage value.
_____ d) The use of MACRS provides tax benefits in the early years of an asset's life, compared to use of the straight-line method.
_____ e) Most companies use one depreciation method for financial reporting and another method for tax reporting.
113. Indicate whether each of the following statements is true or false.
_____ a) A trademark has an indefinite legal lifetime.
_____ b) GAAP requires that research and development costs be capitalized as assets and then expensed over a reasonable period of time.
_____ c) A patent is amortized over the longer of its legal or useful life.
_____ d) The entry to record the amortization of a patent includes a debit to Amortization Expense, Patent and a credit to Patent.
_____e) The capitalized cost of a trademark includes the cost to develop the trademark and to defend it.