Question

Why is ‘Goodwill’ considered an ‘Intangible Asset’ but not a ‘Fictitious Asset’?

Answer 1

Goodwill can only be felt; it cannot be seen or touched. It is therefore regarded as an intangible asset. It is not a fictitious asset, however, as goodwill has value and may be bought or sold with any other asset, but fictitious assets have no value.