Capital goods such aslarge or expensive machines, mainframe computers, blast furnaces,generators, airplanes, and buildingsare referred to as _____
a. supplies
b. installations
c. accessory equipment
d. component parts
ANSWER: b
Major equipment, also commonly known as installations, include large machines, mainframe computers, and buildings. Such items are depreciated over time rather than charged as an expense in the year it is purchased.
Business
You might also like to view...
A taxpayer's rights are explain in:
A. Publication 17 B. Publication 5 C. Publication 556 D. Publication 1 E. None of these choices are correct
Business
Which of the following is (are) included in the common declarations page of a commercial package policy? I. A description of the insured property II. A listing of the causes-of-loss that are covered by the policy
A) I only B) II only C) both I and II D) neither I nor II
Business