What Is Reciprocity

question 119

Multiple Choice

What is reciprocity?

• A)Responding to another's actions with a similar action.
• B)Deriving utility from an action that will cause another's utility to increase.
• C)Doing good things for people and asking nothing in return.
• D)Deriving utility from a stranger's actions.

---

Definitions:

Goodwill

A non-physical asset that comes into existence when a company is purchased at a price higher than the fair market value of its net identifiable assets.

Book Value

The net value of a company's assets found on its balance sheet, minus liabilities, often compared to market value for analysis.

Market Value

Market value is the existing price point at which you can buy or sell an asset or service within a marketplace.

Consolidated Financial Statements

Financial statements that aggregate the financial position and operating results of a parent company and its subsidiaries.