Asked by Veronica Krall on Apr 30, 2024
Verified
Which of the following is an example of an intangible asset?
A) Land
B) Goodwill
C) Inventory
D) Accounts Receivable
Intangible Asset
An Intangible Asset is a non-physical asset possessed by a company, such as intellectual property, goodwill, and licenses, offering future economic benefits.
Goodwill
When a business is purchased, the difference between the price paid and the fair value of the net assets is goodwill. Goodwill may depend on brand names, business location, service, or other elements; it is a valuable asset that plays an important part in the expected rate of future earnings of a business.
- Recognize and delineate various kinds of intangible assets along with their attributes.
Verified Answer
ZK
Zybrea KnightMay 04, 2024
Final Answer :
B
Explanation :
Goodwill is an intangible asset that represents non-physical assets such as brand name, customer relationships, intellectual property, etc.
Learning Objectives
- Recognize and delineate various kinds of intangible assets along with their attributes.