What is GOODWILL?

The primary INTANGIBLE ASSET of a company, generally comprised of reputation, contact networks, intellectual property, and branding. Although the assets have value, they cannot be physically inspected and are extremely ILLIQUID. Goodwill may also include the PREMIUM a company pays in acquiring another company; although such additional value is generally reflected on the corporate balance sheet it must typically be amortized over a set period of time.

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