Both the “All About You” story and the Feature Story at the beginning of the chapter discussed the company Rent-A-Wreck. Note that the tradename 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. (c) Yum Brands.

(b) CKE. (d) Wendy’s.

(2) Dairy Queen belongs to:

(a) Breyer. (c) GE.

(b) Berkshire Hathaway. (d) The Coca-Cola Company.

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

(a) Altria. (c) Boeing.

(b) GE. (d) ExxonMobil.

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

(a) Microsoft. (c) NBC.

(b) Cisco. (d) Time Warner.

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

(a) Procter & Gamble. (c) Walt Disney.

(b) Altria. (d) The Coca-Cola Company.

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