Answer:
Goodwill is calculated as A. The amount paid to purchase a business in excess of the market value of its net assets.
Explanation:
Goodwill is the quantification of the value of the name or reputation of a business. It is an intangible asset for the business that arises and is recorded as part of a business's value when it is sold. Goodwill is the additional amount paid by the buyer in excess of the amount that a business's tangible net assets are worth. Thus, goodwill can be calculated as the amount paid in to purchase a business in excess of the market value of its net assets.
For example, If a business is purchased for $100 whose net assets, which are Total assets less total liabilities, are worth $80. Then the goodwill is the $20 that is the difference of the amount paid to purchase the business and the value of its net assets.
The net profit margin, or simply net margin, measures how much net income or profit is generated as a percentage of revenue.
It is the ratio of net profits to revenues for a company or business segment. Net profit margin is typically expressed as a percentage but can also be represented in decimal form.
<h3>How do we calculate net profit margin?</h3>
Net profit margin is calculated by dividing the net profits by net sales, or by dividing the net income by revenue realized over a given time period.
<h3>What is good net profit ratio?</h3>
For example, in the retail industry, a good net profit ratio might be between 0.5% and 3.5%.
Other industries might consider 0.5 and 3.5 to be extremely low, but this is common for retailers. In general, businesses should aim for profit ratios between 10% and 20% while paying attention to their industry's average.
Learn more about net profit margin here:
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Answer:
Answer d
Explanation:
Mergers and acquisitions from legal point of view differ in a way that acquisition happens when entity takes ownership of another entity's stock, equity interest or assets, while merger is a consolidation of two entities into one. Except for answer d, all other examples are purchases of another company's stocks or assets. Acquisition therefore means takeover of a company by another company, while a merger usually means consolidation of two companies into one based on mutual agreement and with one management
Quebec could not legally secede.
