Private companies, with respect to goodwill:
A) May elect to amortize it over a period of 15 years.
B) Must treat it as an intangible asset with an indefinite life.
C) Must amortize it over a 12-year period.
D) May amortize goodwill if the value of the company does not exceed $10 million.
E) May treat goodwill as a definite lived intangible asset with a 10-year useful life.

Question

Quizplus · Accepted Answer

The Answer of Private companies, with respect to goodwill:
A) May elect to amortize it over a period of 15 years.
B) Must treat it as an intangible asset with an indefinite life.
C) Must amortize it over a 12-year period.
D) May amortize goodwill if the value of the company does not exceed $10 million.
E) May treat goodwill as a definite lived intangible asset with a 10-year useful life.

Private Companies, with Respect to Goodwill