In this case study scenario, no amount for goodwill was included in the sales contract. But if the scenario were different, and the buyer had agreed to pay a premium over the fair market value of Brianna's business assets $($due to an amount being allocated to goodwill$),$ how would this additional amount have been reported on her tax return?

As income in Part I of Schedule C$.$

As a deductible expense in Part II of Schedule C$.$

As a long$-$term capital gain on Form $8949$ and Schedule D$.$

As a gain from the sale or exchange of property in Parts I and III of Form $4797.$