Which of the following statements best describes the accounting treatment of Intangible Assets with indefinite lives?
A)all intangible assets are written down when their carrying values exceed their fair market values.
B)with the exception of Goodwill,all intangible assets are written down when their carrying values exceed their fair market values.
C)all intangible assets are written down when their carrying values exceed their undiscounted future cash flows.
D)the recoverable amount is determined and compared to the carrying amount.If the recoverable amount is greater than the carrying amount than no impairment exists.Otherwise,there is an impairment and the asset is written down to its recoverable amount.

Question

Quizplus · Accepted Answer

The Answer of Which of the following statements best describes the accounting treatment of Intangible Assets with indefinite lives?
A)all intangible assets are written down when their carrying values exceed their fair market values.
B)with the exception of Goodwill,all intangible assets are written down when their carrying values exceed their fair market values.
C)all intangible assets are written down when their carrying values exceed their undiscounted future cash flows.
D)the recoverable amount is determined and compared to the carrying amount.If the recoverable amount is greater than the carrying amount than no impairment exists.Otherwise,there is an impairment and the asset is written down to its recoverable amount.

Which of the Following Statements Best Describes the Accounting Treatment