More Accounts

What is Goodwill?

The excess paid when one company buys another above the fair value of net assets, representing reputation, brand, and other non-physical value.

What type of account is Goodwill?

An intangible asset with a normal debit balance.

What is a Patent?

The legal right granted to an inventor to exclusively produce and sell an invention for a set period.

What type of account is a Patent?

An intangible asset with a normal debit balance.

What is a Copyright?

The legal right to publish, reproduce, and sell creative works like music, books, or art.

What type of account is a Copyright?

An intangible asset with a normal debit balance.

What is a Trademark?

A recognizable name, logo, or symbol that legally distinguishes a company’s goods or services.

What type of account is a Trademark?

An intangible asset with a normal debit balance.

What is a Franchise (or license)?

A contractual right to operate a business or sell a product/service under another company’s brand.

What type of account is a Franchise (or license)?

An intangible asset with a normal debit balance.

What is Unearned Sales Revenue?

Cash received before goods or services are delivered; it represents an obligation to the customer.

What type of account is Unearned Sales Revenue?

A liability account with a normal credit balance.

What type of account is Sales Discounts?

A contra-revenue account with a normal debit balance.