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 the intangible asset that represents the excess earnings a business can generate over its tangible assets, compared to what a similar business might earn. It arises from factors like brand reputation, customer loyalty, and employee relations.

The Intangible Asset That Allows a Business to Earn a Higher