Goodwill is NOT amortized-but evaluated-each year for a decline in value.

Name: Goodwill is NOT amortized-but evaluated-each year for a decline in value.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Goodwill is considered an indefinite-lived intangible asset and is not amortized. However, it is evaluated each year for a decline in value through a goodwill impairment test. If the fair value of the reporting unit to which the goodwill belongs falls below its carrying value, an impairment loss must be recognized.

Goodwill Is NOT Amortized-But Evaluated-Each Year for a Decline in Value