Which of the following statements is true with respect to intangible assets with indefinite lives?
A)They should be amortized over a period of 40 years.
B)They should be expensed to income in the year they are acquired.
C)They should be evaluated each year to determine if there has been any impairment in their value.
D)They are never amortized or written down but remain on the company's balance sheet at their original cost forever.

Question

Quizplus · Accepted Answer

Intangible assets with indefinite lives are not amortized but are reviewed annually for impairment in value. If an impairment has occurred, the asset's value is written down on the balance sheet.

Which of the Following Statements Is True with Respect to Intangible