Write notes on the following: Goodwill as an intangible asset.

Goodwill is benefit of a good name, reputation and connections of a business, which is the one thing which distinguishes a well old-established business from a new business at its inception. Goodwill arises mainly: By personal reputations of the owners By reputation of the goods dealt in By site monopoly or advantage By access to sources of supply for example large quotas For patent and trademark protection Effectiveness of publicity Goodwill is therefore intangible but not fictitious. However it is very difficult to measure or value.