Question

Which of the following items could be classified as section 197 intangibles?

a) Trademarks and trade names
b) Buildings and land
c) Goodwill and going-concern value
d) Accounts receivable

Answer 1

Trademarks, trade names, goodwill, and going-concern value are section 197 intangibles. Buildings, land, and accounts receivable are not classified as such.

Step-by-step explanation:

The items that could be classified as section 197 intangibles are trademarks and trade names, as well as goodwill and going-concern value. These assets are identifiable non-physical assets that have a useful life span of more than a year and are acquired to generate economic benefits for the business. On the other hand, buildings and land are considered tangible assets, and accounts receivable are considered current assets, but not intangible assets.