→ Ask us: about Impairment Testing

All companies reporting under US GAAP must carry out regular impairment testing for intangible assets. Impairment testing is especially relevant for those with indefinite lives and goodwill reported on balance sheets. If the current value of an intangible asset has dropped below the value reported on the balance sheet, there will be a write down and a charge to profit.

Intangible Business can carry out impairment testing or create a process for companies to undertake their own impairment testing. We offer advice on the requirements and timing for  impairment testing, maintenance of asset value and also how to avoid or minimize the chance of an asset write-down. We can also advise on the allocation of purchased goodwill into reporting units to reduce the risk of future impairment.

If you have any questions, please call us on +1 312-794-7794 or send us an email.