The acquisition cost of an intangible asset should be charged to expense over the shorter of its legal or useful life.

Name: The acquisition cost of an intangible asset should be charged to expense over the shorter of its legal or useful life.
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Question

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The cost of an intangible asset is amortized over the shorter of its legal life or its useful life, in accordance with accounting principles, to match the expense with the revenue it generates.

The Acquisition Cost of an Intangible Asset Should Be Charged