Tax Accountant 2023 – Finance & Accounting 10 (Chapter Exercise)

Chapter 10 Non-current Assets (1)

1. Multiple choice questions

4. In May 2017, Company A exchanged an intangible asset with a book balance of 2.5 million yuan, a cumulative amortization of 1.1 million yuan, and a fair value of 2 million yuan for a production equipment with a production equipment with an original book value of 2 million yuan, a cumulative depreciation of 600,000 yuan, and a fair value of 1.6 million yuan. Company A incurred equipment transportation costs of 50,000 yuan, equipment installation costs of 100,000 yuan, and received a supplement of 400,000 yuan from Company B. Assuming that the asset exchange does not have commercial substance, and the value-added tax and other relevant taxes are not considered, the recorded value of the equipment exchanged by Company A is (A) 10,000 yuan.

（2017）

A.115 = carrying amount of the asset surrendered (250-110) + relevant taxes incurred for the asset swapped-in15 - boot received40

B.135=160+10+5-40

C.165

D.175

Analysis: Since the asset exchange does not have commercial substance, it should be accounted for on the basis of book value. The recorded value of the equipment exchanged by Company A = the carrying value of the assets surrendered (250-110) + the relevant taxes and fees incurred for the assets exchanged 15 - the premium received 40 = 115 (10,000 yuan).

Correct Answer: A

10. Among the following fixed assets, depreciation should not be provided for (B). （2018）

A. Ninety percent of new fixed assets that are out of use due to idleness

B. Fixed assets that are no longer in use during the renovation process

C. Fixed assets that are out of use for seasonal production

D. Fixed assets that are out of use during the repair process

12. In order to extend the service life of equipment B, company A improved it in October 2016 and completed it in November, with a total of 320,000 yuan of related expenses incurred in the improvement process, and the original book value of equipment B was 2 million yuan at the time of improvement. The depreciation is calculated using the average life method, the estimated service life is 5 years, the estimated net residual value is zero, it has been used for 2 years, and the impairment provision of 300,000 yuan has been made, if the original book value of the replaced part is 600,000 yuan, the book value of the improved equipment B in November 2016 is (D) million yuan. （2017）

A.115

B.105

C.89

D.95

Analysis: Before the improvement, the book value of the fixed assets = 200-200/5×2-30 = 90 (10,000 yuan), and the book value of the improved equipment B in November 2016 = 90-60×90/200 + 32 = 95 (10,000 yuan).

Correct answer: D

13. In August 2015, Company A renovated a production line, the original book value of the production line was 3.8 million yuan, the accumulated depreciation of 500,000 yuan has been accrued, and the impairment provision has been 100,000 yuan. A total of $1.8 million was spent on the improvements. The carrying amount of the replaced part is $200,000. The project was delivered in October 2015, and the improved production line is expected to have a service life of 5 years, with an estimated net residual value of zero, and depreciation is calculated according to the sum of years. The accumulated depreciation amount accrued by Company A in 2015 for the improved production line was (B) million yuan. （2016）

A.20.00

B.26.67

C.27.78

D.28.33

Analysis: The recorded value of the updated production line = 380-50-10-20 + 180 = 480 (10,000 yuan), and the depreciation amount of the improved production line in 2015 = 480×5/15×2/12 = 26.67 (10,000 yuan).

Correct Answer: B

28. On December 31, 2019, Company A conducted an impairment test on a fixed asset with a book value of 700,000 yuan and an impairment provision of 100,000 yuan, and determined that its fair value was 600,000 yuan and the disposal cost was 30,000 yuan; It is estimated that the present value of its future cash flow is 550,000 yuan, and on December 31, 2019, Company A made an asset impairment provision of (A) million yuan for the fixed asset. （2020）

A.13

B.15

C.3

D.5

Analysis: The recoverable amount of a fixed asset should be determined based on the higher of the fair value of the asset less disposal costs and the present value of the asset's expected future cash flows. The fair value net of disposal costs is $570,000 (60-3) > the present value of the estimated future cash flows is $550,000, so the recoverable amount of the fixed asset is $570,000. Therefore, the asset impairment provision accrued for the fixed asset on December 31, 2019 = 70-57 = 13 (10,000 yuan), option A is correct.

Correct Answer: A

31. Company A purchased a piece of equipment on December 1, 2014, with an original value of 2 million yuan, which is expected to be used for 5 years, with an estimated net residual value rate of 4%, and depreciation is calculated by the sum of years method. On December 31, 2016, when Company A inspected the carrying amount of the equipment, it found that there were signs of impairment. According to the market situation of the day, if the equipment is sold, the market price is expected to be 850,000 yuan, and the cleaning cost is 30,000 yuan; If the fixed assets continue to be used, the present value of cash flow is expected to be 800,000 yuan in the next three years. Assuming that the relevant taxes and fees are not considered, the impairment provision for the equipment at the end of 2016 is (C) million yuan. （2017）

A.35.6

B.4.8

C.2.8

D.0

Analysis: The recoverable amount is determined according to the higher of the net amount after deducting disposal costs from the estimated selling price and the present value of future cash flows, and the recoverable amount is 820,000 yuan (85-3);

The carrying amount before the provision for impairment = 200-200× (1-4%)× (5+4)/15 = 84.8 (10,000 yuan), and the accrued impairment provision = 84.8-82 = 2.8 (10,000 yuan).

Correct Answer: C

2. Multiple choice questions

40. Among the following items, the cost of construction projects under construction will be affected (ABC). （2016）

A. The net loss of engineering materials inventory incurred during the construction period

B. Interest expenses on special borrowings during the construction period of the project in progress

C. Net loss of construction in progress caused by natural disasters and other reasons

D. Special financial subsidies obtained for projects under construction

E. Provision for impairment of engineering materials at the end of the period

Analysis:

Option D, the special financial subsidy obtained by the construction project in progress is an asset-related government subsidy, which is included in the deferred income when received, and under the total amount method accounting, the amortization is included in the current profit or loss from the time when the relevant asset reaches the intended usable state and begins to accrue depreciation or amortization, and the net method accounting does not affect the cost of the project in progress; Option E, the provision for impairment of construction materials at the end of the period is included in the asset impairment loss account, and the construction materials are listed separately in the balance sheet, which does not affect the cost of construction in progress.

Correct answer: A, B, C

41. In the process of self-construction of fixed assets by enterprises, the following items should be accounted for in the account of "construction in progress - expenditure to be amortized" (ABCD). （2015）

A. Net income from the inventory of engineering materials

B. Temporary facility expenses incurred during construction in progress

C. Exchange differences in foreign currency borrowings incurred that are eligible for capitalization

D. Project management fees incurred

E. Net loss of scrapping works due to natural disasters

Analysis: Option E, the net loss of project scrap caused by natural disasters is included in the non-operating expenses, and the corresponding projects under construction are written off, and are not accounted for through the account of "construction in progress - expenses to be amortized".

正确答案:A, B, C, D

42. Enterprise A is a general VAT taxpayer and adopts the self-operated mode to build a production plant, and the following items should be included in the construction cost of the plant (BCE). （2013）

A. The value-added tax payable by the raw materials used in the production of the project

B. Temporary facility expenses incurred during construction in progress

C. The net loss of engineering materials during the construction of the project

D. Borrowing costs incurred after the project reaches the intended usable state, but before the final accounts are completed

E. Net loss of scrapping of projects under construction caused by natural disasters

Analysis: For a plant built by an enterprise in a self-operated manner, the value-added tax payable by the raw materials used in the production of the project should not be included in the construction cost of the plant, and option A is wrong; The cost of temporary facilities incurred in the construction in progress is included in the cost of the construction in progress, and option B is correct; The net loss of engineering materials incurred during the construction of the project should be included in the cost of the construction project, and option C is correct; After the project reaches the intended usable state, but the borrowing costs incurred before the final accounts are completed, they should be included in the current profit and loss (financial expenses), which does not affect the cost of the project, and option D is wrong; The net loss of scrapping of construction in progress due to natural disasters is debited to non-operating expenses and credited to construction in progress, i.e., to offset the cost of plant construction, option E is correct.

Correct answer: B, C, E

44. The following are the basic factors that affect the depreciation of fixed assets (ABC). （2020）

A. The useful life of fixed assets

B. Original value of fixed assets

C. Estimated net residual value of fixed assets

D. Amount of provision for impairment of fixed assets

E. Method of accrual of depreciation of fixed assets

46. Among the following statements about the depreciation of fixed assets, the correct one is (ABE). （2015）

A. The decoration expenses incurred that meet the conditions for the recognition of fixed assets shall be depreciated on a regular basis

B. Depreciation shall be accrued during the maintenance period and included in the current cost

C. If the original provisional value is adjusted according to the actual cost, the depreciation amount that has been accrued shall be adjusted at the same time

D. Depreciation should not be accrued if it has reached the intended state of use and has completed the final accounts, but has not yet been put into use

E. Fixed assets that are scrapped in advance shall not be subject to depreciation

48. Among the following statements about the depreciation of fixed assets, the correct one is (ABE). （2012）

A. Depreciation shall be accrued for fixed assets that are out of service seasonally

B. Depreciation shall be accrued for fixed assets that are regularly repaired and out of service

C. For the decoration expenses incurred in the fixed assets under financial lease, depreciation shall be accrued in the remaining lease period if the conditions for recognition of fixed assets are met

D. Depreciation should be made up for fixed assets that are scrapped in advance

E. Depreciation will not be accrued for fixed assets that have been fully depreciated but continue to be used

Analysis: Option C, for the renovation expenses incurred in the financial lease of fixed assets, depreciation should be accrued within the shorter of the two renovation periods, the remaining lease period and the remaining useful life of the fixed assets; Option D, depreciation is not required for prematurely retired fixed assets.

Correct answers: A, B, E

50. Among the following accounting treatments for expenses incurred in the development of in-house intangible assets, the correct one is (ABDE). （2012）

A. Expenses incurred during the research phase are included in the current management expenses

B. If it is not possible to distinguish between R&D and R&D expenditures, all R&D expenditures incurred should be expensed

C. Expenditures incurred during the research phase, which are capitalized on the condition that they can be accounted for separately

D. Expenditures in the development phase are allowed to be recognized as intangible assets when certain conditions are met

E. R&D projects that have entered the development stage and have begun to be capitalized, if they cannot continue due to lack of financial support, all the amount that has been capitalized will be transferred to non-operating expenses

51. Among the following statements about the amortization of intangible assets, the correct one is (BC). （2019）

A. Intangible assets that do not bring economic benefits to the enterprise should be fully amortized at their book value and included in management expenses

B. The amortization of intangible assets of an enterprise shall be used from the time when the intangible assets are available for use to the time when they are no longer recognized as intangible assetsC. Intangible assets with indefinite life shall not be amortized

D. The expenditure during the research phase of the internal R&D project shall be capitalized and amortized over the useful life

E. Intangible assets that bring economic benefits to the business should be amortized

52. Among the following statements regarding the accounting treatment of amortization of intangible assets, the correct one is (BE). （2016）

A. The expenditure during the research phase of the internal R&D project of the enterprise shall be capitalized and amortized over the useful life

B. The amortization of intangible assets of an enterprise shall start from the time when the intangible assets are available for use and end when they are no longer recognized as intangible assets

C. Intangible assets that cannot bring economic benefits to the enterprise should be fully amortized at their book value and included in management expenses

D. The amortization of intangible assets shall be fully included in the profit or loss for the current period

E. Intangible assets with an indefinite useful life should not be amortized

58. In the following statements, it is indicated that fixed assets and intangible assets may be impaired (BCD). （2018）

A. The market price of an asset falls during the period

B. The market interest rate or other market investment rate of return is greatly increased in the current period, resulting in a significant decrease in the recoverable amount of assets

C. The asset is obsolete or its physical condition has deteriorated

D. The asset will be idle, terminated, or planned to be disposed of early

E. The economic, technological or legal environment in which the enterprise operates and the market in which the assets are located have undergone significant changes in the current period or will occur in the near future

Analysis: In option A, impairment is indicated only when the market price of the asset falls significantly during the current period, and the decline is significantly higher than the expected decline due to the passage of time or normal use. In option E, impairment occurs only when the economic, technological or legal environment in which the business operates and the market in which the asset is located changes significantly in the current period or will be in the near future, thereby adversely affecting the enterprise.

Correct answer: B, C, D

60. Among the following statements about the recoverable amount of assets, the correct one is (ECA). （2016）

A. If it is difficult to estimate the recoverable amount of a single asset, the recoverable amount of the asset group shall be determined on the basis of the asset group to which the asset belongs

B. Net cash flows from financing activities should be taken into account when projecting future cash flows from assets

C. A single discount rate should normally be used to estimate the present value of future cash flows of an asset

D. When the recoverable amount of an asset is greater than the carrying amount of the asset, the original provision for impairment of the asset shall be reversed

E. The recoverable amount of an asset shall be recognized on the basis of the higher of the fair value of the asset less disposal costs and the present value of the asset's expected future cash flows

Analysis: Option B, the expected future cash flow of the asset should be based on the current condition of the asset, and should not include the cash flow from financing activities and income tax receipts and payments; Option D, fixed assets and intangible assets, which are assets regulated by the asset impairment standard, cannot be reversed during the subsequent holding period once the impairment is accrued.

Correct answers: A, C, E

61. Among the following statements about asset impairment, the correct one is (BCDE). （2015）

A. The recoverable amount of an asset shall be determined on the basis of the higher of the fair value of the asset and the present value of the asset's projected future cash flows

B. Goodwill formed as a result of a business combination shall be tested for impairment on an annual basis, regardless of whether there is any indication of impairment

C. If it is difficult to estimate the recoverable amount of a single asset by conducting an asset impairment test, the recoverable amount of the asset group shall be determined on the basis of the asset group to which the asset belongs

D. Unless otherwise specified, impairment losses on various types of assets shall be reflected in the items of asset impairment losses or credit impairment losses in the income statement

E. Where there is an indication that certain headquarters assets may be impaired, the recoverable amount of the asset group or combination of asset groups to which the headquarters asset belongs should be calculated and then compared with the corresponding carrying amount to determine whether an impairment loss needs to be recognized

62. Among the following items, there are (ABED) that can indicate that fixed assets may have been impaired. （2012）

A. The market price of an asset has fallen significantly in the current period, and its decline is significantly higher than the expected decline due to the passage of time or normal use

B. The economic, technological or legal environment in which the enterprise operates and the market in which the assets are located have undergone significant changes in the current period or will be in the near future, which will adversely affect the enterprise

C. The market interest rate or other market rate of return on investment has decreased in the current period, which affects the discount rate of the enterprise to calculate the present value of the expected future cash flow of the asset, resulting in a significant reduction in the recoverable amount of the asset

D. There is evidence that the asset is obsolete or that its physical condition has deteriorated

E. Assets have been or will be idle, terminated, or planned for early disposal

Analysis: Option C is wrong, a decrease in the market interest rate or other market rate of return on investment will lead to a decrease in the discount rate, which in turn will lead to an increase in the present value of future cash flows, and will not lead to a decrease in the recoverable amount of the asset.

正确答案:A, B, D, E