(v2400.03) Amortization of Goodwill

This Balance Sheet account is the period-by-period allocation of the cost of the intangible assets included in Goodwill (v2400). Goodwill must be amortized over a period no longer than 40 years. Because this amortization is deducted for computing Operating Profit (v1150), but is not deductible for federal income tax purposes, it is added back to Earnings Before Taxes (EBT) (v1600.00) to arrive at Taxable Income.

The amount of Amortization of Goodwill (v2400.03) entered into the forecast period decreases the Balance Sheet amount of Goodwill (v2400).