1. Simple interest means that:
the interest rate is the same every period.
the dollar amount of interest is the same every period.
interest is only paid once a year.
the compounding periods are annual.
2. Which of the following expenses may a partnership elect to amortize?
a. a purchase of building and land?
b. professional fees paid after the partnership begins business
c. employment taxes paid by the partnership
d. advertising before the time partnership begins business