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Basic Question 1 of 7
What is the maximum period over which a company may amortize the cost of goodwill for financial reporting?
B. 40 years
C. It is not amortized.
A. Five years
B. 40 years
C. It is not amortized.
User Contributed Comments 3
| User | Comment |
|---|---|
| teddajr | Goodwill is not amortized, but is subject to impairment test (annually). |
| YOUCANDOIT | impairment occurs when fair value < carrying value of goodwill |
| Inaganti6 | @Youcandoit awful kind of you to motivate strangers |
Thanks again for your wonderful site ... it definitely made the difference.
Craig Baugh
Learning Outcome Statements
explain the financial reporting and disclosures related to goodwill
CFA® 2026 Level I Curriculum, Volume 2, Module 3.