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According to the research on the recognition-by-components theory,
Acquisition Cost
The total cost incurred to acquire an asset, including the purchase price and any associated costs such as installation and transportation.
Goodwill
Goodwill is an intangible asset that arises when a company acquires another for a price higher than the fair value of its net identifiable assets, representing factors like brand reputation or customer relationships.
Identifiable Net Assets
The portion of a company's net assets that can be attributed to specific assets and liabilities, excluding goodwill.
Amortization Period
The length of time over which a company gradually writes off the initial cost of an intangible asset.
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