Firms associate goodwill with the group of net assets at the level of the operating segment or one level below the operating segment.

Question

Quizplus · Accepted Answer

Goodwill is typically associated with the group of net assets at the level of the operating segment or one level below, as per accounting standards like IFRS and GAAP, which require goodwill to be allocated to cash-generating units or reporting units.

Firms Associate Goodwill with the Group of Net Assets at the Level