Which of the following statements does not accurately describe the current accounting standards for goodwill?
A) If the fair value of the reporting unit is greater than its book value there is not a goodwill impairment.
B) Goodwill should not be amortized.
C) If the fair value of the reporting unit is less than its book value there will always be a goodwill impairment.
D) Goodwill should be tested for impairment on at least an annual basis and in certain conditions between annual dates.
Correct Answer:
Verified
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