If the recoverable amount of an indefinite-life intangible other than goodwill is less than its carrying value, an impairment loss must be recognized.

Question

Quizplus · Accepted Answer

This statement is true. According to accounting standards, if the recoverable amount of an indefinite-life intangible other than goodwill (such as trademarks, patents, or copyrights) is less than its carrying value, then an impairment loss must be recognized. The impairment loss is the difference between the carrying value and the recoverable amount.

If the Recoverable Amount of an Indefinite-Life Intangible Other Than