The Statement Concerning Goodwill That Is Not Correct Is

question 53

Multiple Choice

The statement concerning goodwill that is not correct is:

• A)Goodwill can be recognised on the balance sheet only if it is purchased
• B)Goodwill is calculated as the excess of the consideration paid for a business over the fair value of the net assets acquired
• C)Goodwill can only be purchased when a business is acquired as a going concern
• D)Goodwill represents the value of trademarks,brand names,patents,licences etc.

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Definitions:

Ethical Standards

Ethical standards are the principles that guide individuals and organizations in distinguishing between right and wrong behavior, often formalized into a code of conduct.

Professional Conduct

The accepted principles of right and wrong governing the professional activities and behavior of individuals in a specific profession.

Virtual Organisations

Entities that operate primarily through digital interactions, often with team members dispersed geographically.

Outsourcing

The business practice of hiring a party outside a company to perform services and create goods that traditionally were performed in-house by the company's own employees and staff.