Which of the following accurately describes the appropriate accounting for goodwill acquired through a business combination ?

It should be recorded at cost and tested for impairment on an annual basis and more often if certain events occur.

Answer  B  is the right option . Because goodwill is not amortized according to US GAAP .

B. is the correct answer, as per IAS 38, Intangible assets, goodwill is not amortized instead tested for the impairment each year under IAS 36, impairment of Assets. Therefore, It should be recorded at cost and tested for impairment on an annual basis and more often if certain events occur.

My answer is B. it should be recorded at cost and tested for impairment in annual basis.

my answer is option C>>>>>>>>>>>>>>.

Ans : C. It should be recorded at cost and amortized over a-year period.