Chapter 13, Problem 2SYPS

Explain. What is working capital?* Equity Capital + Retained Earnings Equity Capital - Total Liabilities Total Assets - Total Liabilities Current Assets - Current Liabilities

Explain    Which of the following is not true about goodwill?* Goodwill needs to be evaluated for impairment yearly Goodwill is treated as a tangible asset in accounting Goodwill is a result of purchasing a company for a price higher than the fair market value of the target company's net assets Goodwill can be comprised of things such as good reputation, loyal client base, and brand recognition.

Solve pls