Which of the Following Is an Example of an Intangible

question 16

Multiple Choice

Which of the following is an example of an intangible with an indefinite life?

• A) A copyright on a book of poetry.
• B) The goodwill value resulting from a business combination.
• C) A patent on a new invention.
• D) The research costs to develop a new drug.

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Definitions:

Return On Investment

Return on investment (ROI) measures the gain or loss generated on an investment relative to the amount of money invested, expressed as a percentage.

Investment Centre

A division or unit within a company that is responsible for its own revenues, expenses, and assets, and is evaluated based on its return on investment.

Performance Evaluation

An assessment process where an individual's or team's work outputs and efficiency are measured and reviewed against set goals or criteria.

Total Revenue

The total income generated by a company from its business activities, often from the sale of goods and services, before any expenses are subtracted.