Which is not a characteristic of an asset?
A)The resource must be useful only in the entity's activities and have been acquired by purchase, production, or stockholder investment.
B)The entity must be able to obtain the future benefit and control others' access to it.
C)The transaction or event giving rise to the entity's right to or control over the benefit must have already occurred.
D)The resource must singly, or in combination with other resources, have the capacity to contribute directly, or indirectly, to the entity's future net cash inflows.

Question

Quizplus · Accepted Answer

A resource being useful only in the entity's activities and being acquired by purchase, production, or stockholder investment is not a characteristic of an asset. It is a characteristic of a cost or expense. Assets can also be acquired through other means such as donations or inheritance.

Which Is Not a Characteristic of an Asset