8.1 Describe the difference between plant assets, intangible assets, and natural resources
1) Plant assets can be called fixed assets or physical assets.
2) Patents and copyrights represent the rights conveyed to the owners of these tangible assets.
3) Timber, coal, and other minerals are long-term assets called natural resources.
4) The cost of long-term assets must be allocated to an expense as the asset is used up.
5) Patents, goodwill, and trademarks are:
A) amortized.
B) depleted.
C) depreciated.
D) expensed.
E) written off.
6) Buildings, vehicles, and desks are:
A) amortized.
B) depleted.
C) depreciated.
D) expensed.
E) written off.
7) Coal, oil, and timber are:
A) amortized.
B) depleted.
C) depreciated.
D) expensed.
E) written off.
8) Which of the following would NOT be considered an intangible asset?
A) Goodwill
B) Franchise
C) Land
D) Copyright
E) Patent
9) Which of the following would be considered a natural resource?
A) Corn
B) Livestock
C) Timber
D) Wheat
E) Land
10) Assets that come from the earth and can ultimately be used up are called __________.
11) How are intangible assets different from tangible assets?
12) What is another name for assets that cannot be seen, touched, or held?
13) What do "other long-term assets" typically consist of?