Peter Wong, a friend of yours, is an active investor in global stock market. After he read the financial reports of Apple Inc., in which goodwiil amounting to US$1,577 million was shown on the consolidated statement of financial position of the parent company and its subsidiaries at the year-end of 2018 but none of the goodwill was reported in the parent's financial statements, he was so confused and he is seeking for your help to answer his concerns as follows:

(a) State any FOUR intangible factors which contribute to the Inc. selling iPad, iPhone, Mac, iPod, and iTunes, etc.

(b) Why is the goodwill reported on the consolidated financial on parent's financial statements? goodu'ill of Apple (4 marks) statements but not (2 marks)

(c) Peter Wong questions the practice that goodwill should be recogntzed as an asset in the consolidated financial statements because he believes goodwill has no physical substance and no one can even quantify the income generated from it. What is your response to his doubts? (6 marks)

(d) Accountants had used the method of amorttzation for the goodwill accounting for a decade before 200I. Currently the accounting for goodwill should be subject to impairment test. Discuss the key assumptions and features of the "amottization" and "impairment test" for goodwill measurement. Discuss the pros and cons of the impairment test relative to amortization. ( 12 marks)