Chapter 3
Long-Term Assets
91
AS-23 (
5
)
In a natural resource company, what do assets under construction mainly represent?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
AS-24 (
5
)
True or False: Depletion of assets should start as soon the asset is under construction.
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
AS-25 (
4
)
Where does an impairment loss appear on the income statement?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
AS-26 (
7
)
What does the asset turnover ratio measure?
______________________________________________________________________________
______________________________________________________________________________
AS-27 (
7
)
What does the return on assets ratio measure?
______________________________________________________________________________
______________________________________________________________________________
