Stephen's Auto Recently Purchased Auto Express for $9

question 1

Multiple Choice

Stephen's Auto recently purchased Auto Express for $9.8 million.Auto Express had a market value of $9.5 million at the time of acquisition.The additional $0.3 million that Stephen's Auto paid for Auto Express will be treated on Stephen's Auto's balance sheet as which type of account?

• A)patent
• B)depreciation
• C)licenses
• D)goodwill
• E)acquisition expense

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Definitions:

English Words

Linguistic units of the English language used to convey meaning, consisting of vowels and consonants formed into meaningful sequences.

SQ3R Reading System

A reading comprehension technique including five steps: Survey, Question, Read, Recite, and Review, designed to improve understanding and retention of written information.

Retain

To keep in one's memory or possession; holding onto information or items.

Organized

Refers to the state of being efficiently arranged or structured, often enhancing productivity and clarity.