The Feature Story at the beginning of the chapter discussed the companyRent-A-Wreck. Note that the trade name Rent-A-Wreck is a very important asset to the company, as it creates immediate product identification. As indicated in the chapter, companies invest substantial sums to ensure that their product is well-known to the consumer. Test your knowledge of who owns some famous brands and their impact on the financial statements.

Instructions

(a)Provide an answer to the five multiple-choice questions below.

(1)Which company owns both Taco Bell and Pizza Hut?

(a)McDonald”s.

(b)CKE.

(c)Yum Brands.

(d)Wendy”s.

(2)Dairy Queen belongs to:

(a)Breyer.

(b)Berkshire Hathaway.

(c)GE.

(d)The Coca-Cola Company.

(3)Philip Morris, the cigarette maker, is owned by:

(a)Altria.

(b)GE.

(c)Boeing.

(d)ExxonMobil.

(4)AOL, a major Internet provider, belongs to:

(a)Microsoft.

(b)Cisco.

(c)NBC.

(d)Time Warner.

(5)ESPN, the sports broadcasting network, is owned by:

(a)Procter & Gamble.

(b)Altria.

(c)Walt Disney.

(d)The Coca-Cola Company.

(b)How do you think the value of these brands is reported on the appropriate company”s balance sheet?