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

---

Definitions:

Technical Jargon

Specialized language used by experts in a particular field or industry, often difficult for others to understand.

Credibility

Credibility is the quality of being trusted and believed in, often based on a reputation for integrity, reliability, and competence in a particular field or context.

Jargon

Specialized language used by professionals in a particular field or profession that may be difficult for others to understand.

Placement of Ideas

The strategic organization of concepts or thoughts within a piece of writing or presentation to achieve desired effects or comprehension.