Question

Match the following intangible assets to their definitions by writing the respective alphabet (A-E) on the line.

Part A:
a. Patents
b. Goodwill
c. Trademarks and trade
d. Franchises and licenses
e. Copyrights
Part B:
1. Distinctive identifications of products or services
2. The excess of the cost of purchasing another company over the sum of the market values of the acquired company’s net assets
3. Give holder the exclusive rights for 20 years names to produce and sell an invention
4. Exclusive rights to reproduce and sell a book, musical composition, film, or other work of art
5. Privileges granted by a private business or a government to sell a product or service in accordance with specified conditions

Answer 1

a. Patents: 3.

b. Goodwill : 2

c. Trademarks and trade: 1

d. Franchises and licenses: 5

e. Copyrights :5

Step-by-step explanation:

a. Patents: 3. A patent is a group of rights of an invention given for a period of time, normally to its inventor in order to sell, produce and use his product with exclusivity leaving aside the competitors.

b. Goodwill : 2 the goodwil in business is calculated as the adquisitoin cost of a business minus the intangible and tangibles assets and liabilities obtained in the purchases

c. Trademarks and trade: 1 A trade mark is a logo, drawion, word or phrase tahat identifies a product or a services among others.

d. Franchises and licenses: 5 Is a type of business (for example Mc Donald's) where one (the franchisor) gives the fanchisee the right to use it's trademark and business model and processes in exchange of licensing fees.

e. Copyrights :5 the copyrights protects tha author of an artistic work in order not to be reproduced without its permission