Canadian Securities Course (CSC) Level 1 Practice Exam

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Canadian Securities Course Level 1 Exam with our comprehensive study tool. Use flashcards and multiple choice questions to hone your skills. Fully understand each topic with hints and explanations. Get ready to excel in your exam!

Start Multiple Choice Practice Test
Start Flash Cards

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What is goodwill?

  1. The excess of the amount paid for shares

  2. The market value of company equipment

  3. The revenue generated from customer loyalty

  4. The salary paid to executives

The correct answer is: The excess of the amount paid for shares

Goodwill is the excess of the amount paid for shares over the fair market value of the net assets acquired. It represents the intangible value of a business such as brand reputation, customer relationships, and strategic positioning that are not separately identifiable. This is why option A, "The excess of the amount paid for shares," is the correct answer. Options B, C, and D are not correct because goodwill does not refer to the market value of company equipment, the revenue generated from customer loyalty, or the salary paid to executives.

More Questions Like This