Dolan's Detailing is purchasing another company in order to obtain the patent to its luxury car cleaning system. A patent is described as a ________ expenditure.
A) tangible
B) capital
C) leverage
D) trade
E) factor

Question

Quizplus · Accepted Answer

A patent is considered a capital expenditure because it is an investment in a long-term asset that will provide benefits to the company over several years.

Dolan's Detailing Is Purchasing Another Company in Order to Obtain