Question: QUESTION 1 Explain how the impairment testing can better reflect underlying economic attributes of goodwill than amortization method. (8 marks) QUESTION 2 Following FRS 136

QUESTION 1

Explain how the impairment testing can better reflect underlying economic attributes of goodwill than amortization method. (8 marks)

QUESTION 2

Following FRS 136 Impairment of Assets, discuss the challenges that might be faced by the company in the treatment of accounting for goodwill. (8 marks)

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