Question

Intangible assets that have an indefinite useful life:
a. Are those whose acquisition costs is not amortized over their useful life.
b. Are those with no legal, contractual, or economic factors that are expected to limit their useful life to a company.
c. Are those with no foreseeable limit on the period of time over which the asset is expected to contribute to the cash flows of the entity.
d. All of these answer choices are correct.

Answer 1

Answer:

d. All of these answer choices are correct.

Explanation:

Intangible assets with an indefinite life are not amortized over the years although they are checked impairment loss that may have occurred during the year.

Intangible assets which have indefinite life provide cash flow for endless years. An example would be goodwill.