Which of the following is an abstract idea inferred from specific instances that are thought to be related?

The costs of organizing a corporation include legal fees, fees paid to the state of incorporation, fees paid to promoters, and the costs of meetings for organizing the promoters. These costs are said to benefit the corporation for the entity's entire life. These costs should be

a. capitalized and never amortized. b. capitalized and amortized over 40 years. c. capitalized and amortized over 5 years. d. expensed as incurred.

Through legal precedent, generally accepted auditing standards established by the AICPA apply

a. Only to CPAs who belong to local CPA societies b. To all CPAs c. Only to those CPAs who choose to have quality reviews d. Only to CPAs conducting audits subject to AICPA jurisdiction