Accounting & the 3 Statements
Why is goodwill no longer amortized under US GAAP, and what's the difference between goodwill and other acquired intangibles in terms of P&L impact?
Model answer
Since 2001 (SFAS 142, now ASC 350), goodwill is considered to have an indefinite life, so it is NOT amortized — instead it's tested for impairment at least annually (and on triggering events), with a…
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