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Why is goodwill considered to be an intangible asset and not a fictitious asset? - Accounts

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Question

Why is goodwill considered to be an intangible asset and not a fictitious asset?

Short Answer
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Solution

Goodwill is treated as an intangible asset because it has value and can be realised or sold. In contrast, fictitious assets have no real value and cannot be sold, as they are written off over time. Therefore, goodwill is not a fictitious asset.

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