ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 96

14. If a nonmonetary exchange lacks commercial
substance, and cash is received, a partial gain or loss is
recognized.

15. When a company exchanges nonmonetary assets and a
loss results, the company recognizes the loss only if the
exchange has commercial substance.

16. Costs incurred subsequent to the acquisition of an
asset are capitalized if they provide future benefits.