Describe what is meant by the term "goodwill."
What will be an ideal response?
Goodwill is the added value of a successful business that is attributable to factors such as reputation, location, and superior products. Goodwill enables a business to earn above-average profits. In other words, goodwill is the excess paid for an existing business over the appraised value of the net assets.
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A $6,000, 60-day, 12% note recorded on November 21 is not paid by the maker at maturity. The journal entry torecognize this event is
a. debit Cash, $6,120; credit Notes Receivable, $6,120 b. debit Accounts Receivable, $6,120; credit Notes Receivable, $6,000; credit Interest Receivable, $120 c. debit Notes Receivable, $6,060; credit Accounts Receivable, $6,060 d. debit Accounts Receivable, $6,120; credit Notes Receivable, $6,000; credit Interest Revenue, $120
When a limited liability company is formed
a. the partnership activities are limited b. all partners have limited liability c. some of the partners have limited liability d. none of the partners have limited liability
Rogers Company reported net income of $35,000 for the year. During the year, accounts receivable increased by$7,000, accounts payable decreased by $3,000 and depreciation expense of $8,000 was recorded. Net cashprovided by operating activities for the year is
a. $53,000 b. $47,000 c. $33,000 d. $37,000
________ are information systems that support the management and delivery of documents including reports, Web pages, and other expressions of employee knowledge.
A. Content Management Systems (CMS) B. Data Transfer Protocols (DTP) C. Online Analytical Processing (OLAP) systems D. Document Delivery System (DDS) E. Decision Support Systems (DSS)