GAAP requires that intangible assets be amortized over a period not to exceed how many years?

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Solution

(A) 40

(B) 20

(C) 17

(D) no such requirements exist

Answer (A): 40

Explanation: There is a rebuttable assumption that the helpful existence of an elusive resource won’t surpass a long time from the date when the resource is free for use.

Also see:

MCQs on GAAP

Difference Between GAAP and IFRS

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GAAP requires that intangible assets be amortized over a period not to exceed how many years?

(A) 40 (B) 20 (C) 17 (D) no such requirements exist Answer (A): 40 Explanation: There is a rebuttable assumption that the helpful existence of an elusive resource won’t surpass a long time from the date when the resource is free for use. Also see: MCQs on GAAP Difference Between GAAP and IFRS