The intangible asset that allows a business to earn a higher return than a comparable business might generate with the same tangible assets is known as
A) Intangible assets
B) Tangible assets
C) Preferred merchandise lines
D) Goodwill

Question

Quizplus · Accepted Answer

Goodwill is an intangible asset that arises when a business acquires another business and pays more than the fair value of its tangible and identifiable intangible assets. It represents the value of a company's brand, customer base, and other factors that allow it to earn higher returns.

The Intangible Asset That Allows a Business to Earn a Higher