165) Goodwill is recognized for accounting purposes 0.48 Points when the value of a business exceeds its historical cost book value O every year as long as the IRS does not object O when a business is purchased for a price that exceeds the book value of its assets less liabilities when a business is purchased for a price that exceeds the fair market value of its assets less liabilities 166) An efficient capital market 0.48 Points O creates an opportunity for investors to spot "underpriced" securities using publicly available information O is one in which market prices "fully reflect all information to the public has no bearing on accounting statements and procedures O explains why some individuals are able to beat the market through the use of publicly available information 167) If markets are truly efficient, then the proper portfolio includes which of the following characteristics? 0.48 Points high diversification risk control low turnover of securities all of the above none of the above