Which of the Following Is False Regarding the Valuation of Goodwill

question 38

Multiple Choice

Which of the following is false regarding the valuation of goodwill?

• A)U.S.accounting standards require that goodwill be specifically identified with an operating segment or a reporting unit.
• B)By definition,acquired parts of the business (or goodwill)must be sufficiently identifiable so that they can be managed as a unit or may be separately identified and sold as a unit.
• C)Goodwill is tested for impairment quarterly.
• D)Goodwill is the excess of the purchase price over the fair market value of the acquired company's tangible assets,identifiable intangible assets,and liabilities.

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Definitions:

Miscarriages

The spontaneous loss of a pregnancy before the 20th week, often due to natural causes related to fetal or maternal health issues.

Embryonic Stage

A period in prenatal development occurring from the end of the second week through the eighth week after conception, where major organs and structures within the organism begin to develop.

Germinal Stage

The first two weeks of prenatal development after conception, characterized by rapid cell division and the beginning of cell differentiation.

Foetal Stage

The developmental stage of a fetus from 9 weeks after fertilization until birth, characterized by rapid growth and development of bodily structures.