Final answer:
Acquisition costs indeed include cash payments for ownership and expenses for extending the asset's life, which is true. Businesses must consider financial strategies when acquiring assets for future profitability.
Step-by-step explanation:
The statement that acquisition costs include the cash payments required for ownership and any subsequent expenditures required to extend the life of the asset such as a major overhaul is true. In business, when firms make decisions involving spending money to acquire assets, they expect this to benefit them financially in the long term. This also involves considering methods of financing these assets, which may include seeking early-stage investors, reinvesting profits, borrowing, or selling stock. Additionally, investments during an economic expansion are crucial for sustaining growth and are made in anticipation of future profits.