Assets that the business creates for its own use qualify for interest capitalization, while the other types of assets do not. A business may also apply interest capitalization to assets created by another entity for the use of the business.

This provision of the Sarbanes-Oxley Act of 2002 strengthened accounting standards in the wake of several business scandals. It declared that companies must use external auditors and that financial statements must be signed by the chief executive officer (making answer B incorrect). It also encourages boards of directors to take a more active role with financial statements.