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In what categories is Goodwill classified?

11. In what categories is Goodwill classified?

1. Self-Generated Goodwill
2. Super Profit
3. Purchased Goodwill
4. None of the above

Answer: C) Purchased Goodwill

Explanation:

Goodwill is recorded as an elusive resource on the procuring organization's monetary record under the drawn-out resources account. Under the sound accounting guidelines (GAAP) and the International Financial Reporting Standards (IFRS), organizations are expected to assess the worth of generosity on their fiscal summaries one time each year and record any impairments.1 Goodwill is viewed as an immaterial (or non-current) resource since it's anything but an actual resource like structures or hardware.