<Tr> <Td> <Ul> <Li> </Li> <Li> </Li> <Li> </Li> </Ul> </Td> </Tr> <Ul> <Li> </Li> <Li> </Li> <Li> </Li> </Ul> <Ul> <Li> Goodwill in accounting is an intangible asset that arises when a buyer acquires an existing business . Goodwill represents assets that are not separately identifiable . Goodwill does not include identifiable assets that are capable of being separated or divided from the entity and sold, transferred, licensed, rented, or exchanged, either individually or together with a related contract, identifiable asset, or liability regardless of whether the entity intends to do so . Goodwill also does not include contractual or other legal rights regardless of whether those are transferable or separable from the entity or other rights and obligations . Examples of identifiable assets that are not goodwill include a company's brand name, customer relationships, artistic intangible assets, and any patents or proprietary technology . The goodwill amounts to the excess of the "purchase consideration" (the money paid to purchase the asset or business) over the total value of the assets and liabilities . It is classified as an intangible asset on the balance sheet, since it can neither be seen nor touched . Under US GAAP and IFRS, goodwill is never amortized . Instead, management is responsible for valuing goodwill every year and to determine if an impairment is required . If the fair market value goes below historical cost (what goodwill was purchased for), an impairment must be recorded to bring it down to its fair market value . However, an increase in the fair market value would not be accounted for in the financial statements . Private companies in the United States, however, may elect to amortize goodwill over a period of ten years or less under an accounting alternative from the Private Company Council of the FASB . </Li> </Ul> <Li> Goodwill in accounting is an intangible asset that arises when a buyer acquires an existing business . Goodwill represents assets that are not separately identifiable . Goodwill does not include identifiable assets that are capable of being separated or divided from the entity and sold, transferred, licensed, rented, or exchanged, either individually or together with a related contract, identifiable asset, or liability regardless of whether the entity intends to do so . Goodwill also does not include contractual or other legal rights regardless of whether those are transferable or separable from the entity or other rights and obligations . Examples of identifiable assets that are not goodwill include a company's brand name, customer relationships, artistic intangible assets, and any patents or proprietary technology . The goodwill amounts to the excess of the "purchase consideration" (the money paid to purchase the asset or business) over the total value of the assets and liabilities . It is classified as an intangible asset on the balance sheet, since it can neither be seen nor touched . Under US GAAP and IFRS, goodwill is never amortized . Instead, management is responsible for valuing goodwill every year and to determine if an impairment is required . If the fair market value goes below historical cost (what goodwill was purchased for), an impairment must be recorded to bring it down to its fair market value . However, an increase in the fair market value would not be accounted for in the financial statements . Private companies in the United States, however, may elect to amortize goodwill over a period of ten years or less under an accounting alternative from the Private Company Council of the FASB . </Li>

Where do you put goodwill on a balance sheet