- CFA Exams
- CFA Level I Exam
- Topic 4. Financial Statement Analysis
- Learning Module 7. Analysis of Long-Term Assets
- Subject 1. Acquisition of Intangible Assets
CFA Practice Question
True or False?
The periodic allocation of the cost of a patent is called amortization.
Correct Answer: True
The allocation of the cost of long-lived intangible assets is called amortization. The allocation of the cost of long-lived physical assets is called depreciation.
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