White paper

Qualitative impairment assessment of indefinite-lived intangible assets

Updated Jan 2020

Aug 27, 2012
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Audit Intangibles & other assets Financial reporting

RSM US LLP's National Accounting Standards Group has prepared Qualitative impairment assessment of indefinite-lived intangible assets to provide insights regarding FASB Accounting Standards Update (ASU) 2012-02, Intangibles—Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment. This ASU gives an entity the option to first assess qualitative factors to determine whether it is necessary to perform the quantitative impairment test. Under prior guidance, an entity was required to test an indefinite-lived intangible asset for impairment on at least an annual basis by comparing the fair value of the asset with its carrying amount.

RSM's analysis provides information regarding factors that should be considered in conducting a qualitative assessment to the extent they could affect significant inputs used to estimate the fair value of the indefinite-lived intangible asset being tested for impairment.

RSM contributors

  • Julia Amstutz
    Senior Manager
  • Brian Marshall
    Partner