Where an intangible asset has an indefinite useful life,there is no amortisation expense recorded.

Question

Quizplus · Accepted Answer

When an intangible asset has an indefinite useful life, there is no foreseeable endpoint to the asset's ability to provide economic benefits. Therefore, it is not subject to amortization, as there is no way to determine its useful life. Instead, such assets are subject to impairment testing and are written down if their carrying amount is deemed to exceed their recoverable amount.

Where an Intangible Asset Has an Indefinite Useful Life,there Is