Multiple Choice Question 179 Goodwill can be recorded O when

Multiple Choice Question 179 Goodwill can be recorded O when the company acquires a good location for its business. only when there is an exchange transaction invelving the purchase of an entire business. O when customers keep returning because they are satisfied with the company\'s products. O when the company has exceptional management.

Solution

Answer)-B) Only when there is an exchange transaction involving the purchase of an entire business.

Note: Goodwill is recorded when one company acquires another company on greater price than the sum of fair value of tangible and intangible assets acquired and assumed liabilities.