12. The Land account would include all of the following costs except a. drainage costs. b....

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12. The Land account would include all of the following costs except a. drainage costs. b. the cost of building a fence. c. commissions paid to real estate agents. d. the cost of tearing down a building. 13. Which one of the following items is not a consideration when recording periodic depreciation expense on plant assets? a. Salvage value. b. Estimated useful life. c. Cash needed to replace the plant asset. d. Cost. 14 The cost of successfully defending a patent in an infringement suit should be a. charged to Legal Expenses. b. deducted from the book value of the patent. c. added to the book value of the patent. d. recognized as a loss in the current period. 15. Intangible assets a. should be reported under the heading Property, Plant, and Equipment. b. are not reported on the balance sheet because they lack physical substance. c. should be reported as Current Assets on the balance sheet. d. should be reported as a separate classification on the balance sheet. Multiple Choice (3 points each) Only One best answer for each question 16. Schwinn Company assembled the following information in completing its March bank reconciliation: Balance per bank Outstanding checks Deposits in transit NSF check Bank service charge Cash balance per books As a result of this reconciliation, Schwinn will a. reduce its cash account by $1,900. b. reduce its cash account by $420. c. increase its cash account by $220. d. reduce its cash account by $100. 3 $15,280 $3,100 $5,000 $320 $100 $17,600 12. The Land account would include all of the following costs except a. drainage costs. b. the cost of building a fence. c. commissions paid to real estate agents. d. the cost of tearing down a building. 13. Which one of the following items is not a consideration when recording periodic depreciation expense on plant assets? a. Salvage value. b. Estimated useful life. c. Cash needed to replace the plant asset. d. Cost. 14 The cost of successfully defending a patent in an infringement suit should be a. charged to Legal Expenses. b. deducted from the book value of the patent. c. added to the book value of the patent. d. recognized as a loss in the current period. 15. Intangible assets a. should be reported under the heading Property, Plant, and Equipment. b. are not reported on the balance sheet because they lack physical substance. c. should be reported as Current Assets on the balance sheet. d. should be reported as a separate classification on the balance sheet. Multiple Choice (3 points each) Only One best answer for each question 16. Schwinn Company assembled the following information in completing its March bank reconciliation: Balance per bank Outstanding checks Deposits in transit NSF check Bank service charge Cash balance per books As a result of this reconciliation, Schwinn will a. reduce its cash account by $1,900. b. reduce its cash account by $420. c. increase its cash account by $220. d. reduce its cash account by $100. 3 $15,280 $3,100 $5,000 $320 $100 $17,600

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The detailed answer for the above question is provided below 12 Answer b the cost of building a fenc... View the full answer