Goodwill is defined as:
A)assets minus liabilities.
B)excess of the cost of the purchase of a business over the market value of its net assets.
C)liabilities minus assets.
D)the acquisition costs of a franchise.

Question

Quizplus · Accepted Answer

Goodwill is the excess of the cost of acquisition of a business over the fair market value of its net assets, including tangible and intangible assets. This represents the value of the company's reputation, customer base, brand name, and other intangible factors that contribute to its overall value.

Goodwill Is Defined As