Module I· HGB vs. IFRS — Structural DifferencesIntermediate
Question
How does goodwill treatment differ under HGB versus IFRS?
Answer
HGB amortizes goodwill; IFRS does not amortize goodwill but tests it for impairment annually.
Deep diveShow more details
HGB EBIT and IFRS EBIT are not comparable without adjustment. IFRS impairment is lumpy; HGB amortization is recurring.