Weegy: ) long-lived assets start as some sort of purchase by the company.
In fact, whenever a company purchases an asset, it will either expense or capitalize the purchase. [ Consider a simple example of a company that generates $150 in sales and, in the same year, spends $100 on research and development (R&D). In scenario A below, the entire $100 is expensed and, as a result, the profit is simply $50 ($100 ? $50). In scenario B, the company ... (More)