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22 June, 18:21

Which one of the following items is most likely to be reported as goodwill? A. In-process research and development B. Brand names C. Developed technology D. Skilled workforce

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  1. 22 June, 21:16
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    The correct answer is letter "D": Skilled workforce.

    Explanation:

    Goodwill refers to the value of an intangible asset found on a company's Balance Sheet. A company's brand recognition, intellectual property, skilled workforce, and reputation among its customers and employees can all count towards its goodwill value. When a company is acquired for a higher price than its book value, the excess value of the target company is recorded under a Balance Sheet goodwill.
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