CFAI curriculum Vol 3, P.278. It is stated :
An intangible asset with an idefinite life is not amortized.
But specifically, what shall be an intangible asset with an idefinite useful life ?
I know that " Goodwill" is a non-idetifiable intangible asset, but is it an intangible asset with an idefinite useful life?
A brand name, for example.
Sorry, my question is :
Is “Goodwill” a non-identifiable intangible asset with an indefinite useful life ? or is it with a finite useful life ?
On the other hand, is “Brand Name” an identifiable asset with indefinite useful life?
yup. goodwill has indefinite useful life and no need to amortize it, only annual checks for impairment
Yes.
Infinite.
Yes.
Brand name is an identifiable asset? Being identifiable means that it is either capable of being separated from the entity or it arises from contractual/legal rights? So, it would fall under the latter description like through franchise/licesning?