Which statement is not correct?
A)Assessing the useful life of an intangible asset requires professional judgment.
B)The residual value of an intangible asset is the same as the asset's salvage value.
C)The straight-line method of amortization is generally used for intangible assets.
D)An equal pattern is reflected by the straight-line method of amortization.

Question

Quizplus · Accepted Answer

The residual value and salvage value are not the same for intangible assets. The residual value is the estimated amount that an entity would receive from the disposal of an asset at the end of its useful life, while the salvage value is the estimated amount that an entity would receive from the sale of an asset that is no longer in use.

Which Statement Is Not Correct