1. The following are characteritis of an intangible Asset except ‘A. Beonomie cont! 8 Identitbitty C. Salabitly and Markelabiy D. Fulte economic benefits 2, Which ofthe following ls not classified as Intangible Asset? Which of the folowing tse? ‘A. An intangbe asset wil be recognized in the books I its probabie that fulure economic benefits wil fow fo the enterprise and the cost con be reliably mecsured. 8, Anintangible asset wil be recognized in the books if tI possible that (uture economic benefit wit fow i the ener cd te cost con berey meouzed C. An intangible xsdt wil be recognized In the books regardless ifthe asset wit embody ‘any future benefit or nol D. An inlangiole rte! wil’ be recognized In the books regordess If the aise! har any ‘measurable cost 4, itis on exelusive ight ot protection granted to an author or rector of any Kerary, musical of cite work Franchise 8 Trademark . Computer Soltwore B. Copyright 5, ts an exclusive legal ght granted by the government as protection agains! others rom ‘copying, stealing, Using, selling or dlutdbuting an invention without permision trom the Inventor A. franchise. B Trademare , Patents ©. Computer Software. 1 Thete are words, symbols, Jagines or other devices used In rade to distinguish I rom other products or services. A. Franchise 8 Trademark C. Computer Software ©. Copyright 7. ttle granting by one party o another to operate outlets, use concept, property, trademarks ‘ond trade names and process or production of goods and services: A. Franchise Traiermork Computer Software D. Copyright 8. Which of the following ls not considered as Research and Development Cos!? ‘A. Designing, constucting and testing the prototyoes and mode's. B._Design oF formulation of product or process altematives. CC. Research to acquire new knowledge and processes . Routinary design of fools jigs. molds and ales.9. Which of the following Research and Development Costs should be copitalized ond amortized? [A._Salares ond benefil of penomel for research and development. B. Research findings from another enilly fe help in curent ond fulure research project in process C. Remerch and development fer general laboratory buiing D. inventory Uted fer research projects. 10, Which of the folowing would be considered research and development? ‘A. Prototype construction cost. 8B. Routinary elfor to improve produch ond services C. Alteration of exiting production ine. 1D. Marketing research 1o promote new products and services 11. Which of he folowing statements Is rue about Goode? ‘A. Goodnil sport of intangible assets, BL nternally generated Goodwill allowed. C. Goodell is ostested for impairment atleast annually even If thers is no omorization, D. Goodwil amortized over the erimated Utell tle or logal Ite whicheveris shorter. 12 Intemally generated injanolble astats Include the folowing except: ‘A. Mclerals ured in generating intongible asset, 8 fees fo recistern the Phiippine Patent fice. CC. Costsof salaries of pessonnel in generating the set 1D. Training coxls of elnployees fo operate the patented asset, 13, Intangible Assets: JA. dentable monetary and nonrronetary asse! withoul physical substance 8 Anasel with physical substance. C. Anasiet wihou! physical substance. ©, Identfiable nonmonelary ose without physical substance. 14 Iiethe cllocation ol the amortzable amourt over the usetul lil cr legate ofthe intangible oneal, ‘AL Depreciation Depletion C. Amortization . Disceunt/Premium Amortization 15, Patents wil be amoftzed over: C. Legallfe or UelU te whicheveris herter 1D. Legallfe or useful ite whichevers ler 14, tanana Company successtuly registered with he Phillppine Patent Ofice in the beginning of 20118 for ie asset On July 01. 2018. a competitor recently monuiaciured on asset that wa similar fo the patented csset of Banana. The company fled lawsut ogcins! the competor ‘ond was successilin delending the patented asiet. How wil the Banana Company iret the ‘A. Expense fer the period. 8. Capllited os cos! of the asset and depreciated over the usetulie C. Captaized os cost of the patent ond omortzed over tne Useful Me or legot fe whichever s ower. D. Ignored 17, Melon Na, Melon Nal Incomorated acquired the net assats of Reci na Beall Compony. The {alr valve of the net attels of Rei na Real omourted to P15 000,000. Melon Nal acquired the not attels of Real na Real at P14,000,000. Now should Melon nal account for the excess of the purchase price over the net astets of Real na Real? ‘A. Reported as gain for the period. 8. Reported os other comprehensive income ond redized on a piecemeciibosis C. Reported as Intangible Asie! and amorfized over the useful lfe or loga fe whichever is lower. D. Reported os Goodwit18, Which ofthe folowing ls tue regarding Impalment of Goodwill and reversals ofimpakimen!? ‘A. Impaiment of Goodwil s recognized inthe books and os well os subsequent reverol of Impatment, 8. Impaiment of Goodwil ft not recognized in the books because since goodwill does not have any useful ite and no! amortzed. CC. Impaiment of Goodwil is recognized In the books bul ony reversal of impakment of \goodwil& nol taken inlo consideration, . Impatment isnot recognized. 19. Computer sofware shall be amortized: ‘A. Uniformly over the useful fe. 8. Using the elo of curent revenue over total expected revenue for he produc C. Using SM, 1. Using SLM or ratio of curent revenue over total expected revenue for the product whichever s greater. 20 According to SIC 32, Website Development Costs: ‘A. Included as part of intangible Assets. 8. Included ax part of expense forthe perios. CC. Included as part of intangible Assets ond amertized. 1. Inckided ar pert of expense forthe period or part of inlangible Asses ol he dkerelion of fhe company. ¢