Business Studies, asked by shanayakhan535, 1 year ago

Whats the goodwill and how to create in balance sheet?

Answers

Answered by Anonymous
1
Goodwill is an intangible asset that arises when one company purchases another for a premium value. The value of a company’s brand name, solid customer base, good customer relations, good employee relations ,and any patents or proprietary technology represent goodwill.

Goodwill is considered an intangible asset because it is not a physical asset like buildings or equipment. The goodwill account can be found in the assets portion of a company's balance sheet.


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