The Dominant Approach to Accounting for Goodwill in the United

question 60

Multiple Choice

The dominant approach to accounting for goodwill in the United States is the

• A) immediate write-off to reserves.
• B) immediate write-off to income.
• C) set up as an asset subject to amortization.
• D) set up as an asset not subject to amortization.

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Definitions:

Social Necessity

The concept that certain conditions, goods, or services are essential for the functioning and well-being of a society.

Hispanic American

An individual of Latin American descent living in the United States, contributing to the cultural and demographic diversity of the country.

Ethnic Group

A community or population made up of people who share a common cultural background, heritage, language, or lineage.

Customs

Traditional practices, behaviors, or rituals that are specific to a particular culture, society, or community.