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:

Social Networks

Platforms or communities online where individuals can connect, share, and communicate with each other.

Fostering Collaboration

Encouraging or promoting cooperative work and shared goals among individuals or groups.

Staffing Needs

The requirements an organization has for employees in terms of numbers, skills, and roles to meet its operational goals.

Social Network

An online platform that allows users to build connections and share information with others.