Which Is an Exception to the Rule: "Test for Impairment

question 84

Multiple Choice

Which is an exception to the rule: "test for impairment only if there are indicators for impairment"?

• A)Intangible assets with indefinite lives.
• B)Intangible assets with definite lives.
• C)Internally generated goodwill.
• D)Tangible assets with definite lives.

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Definitions:

Consumer Credit

A form of credit extended to consumers to finance the purchase of goods or services, often associated with personal loans, credit cards, and lines of credit.

Productive Capacity

The maximum output a business, industry, or economy can produce using all available resources efficiently.

Material Wealth

The quantifiable fiscal assets and possessions owned by an individual or entity, often used as a measure of economic status.

Real Assets

Tangible assets such as land, buildings, and commodities that have intrinsic value due to their physical properties.