Which of the Following Groups Would Be Classified as Intangible

question 3

Multiple Choice

Which of the following groups would be classified as intangible assets for financial accounting and reporting purposes?

• A) long-term notes receivable, copyrights, goodwill, and trademarks
• B) patents, computer software costs, franchises, copyrights, goodwill and trademarks
• C) computer software costs, research and development costs for internally developed patents, patents, and goodwill
• D) organization costs, goodwill, costs of employee training programs, and trademarks

---

Definitions:

Novation

Novation is the legal act of replacing an existing obligation with a new one, substituting a new party or obligation into an original contract.

Original Promisor

The individual or entity who initially makes a promise in a contractual agreement, especially in contexts involving subsequent assignments or transfers of obligations.

Original Promisee

The individual or entity to whom a promise or commitment is initially made in a contractual agreement.

Breach of Contract

A situation where one or more parties fail to fulfill the terms agreed upon in a contract.