How Must Goodwill Resulting from Business Combinations Be Treated Under

question 50

Multiple Choice

How must Goodwill resulting from business combinations be treated under U.S.GAAP?

• A)It must be amortized over a period of no more than 40 years.
• B)It must be expensed when it is acquired.
• C)It must be written down when its fair value is less than its carrying value.
• D)It must be written down in no less than 5 years and no more than 40 years.

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