A
Goodwill
Goodwill
Image 1 The excess of the purchase price over the fair market value of an asset.
Image 2 The market will set the price a business is worth. Goodwill arises when more was paid for the business than you would expect from just looking at the value of its assets and liabilities. This difference can be from a number of reasons including a happy workforce, customer loyalty, a good location, etc..


Amortization

Depreciation