Final answer:
True, an impairment loss must be recognized if the fair value of an unlimited life intangible asset, other than goodwill, is less than its book value according to generally accepted accounting principles.
Step-by-step explanation:
If the fair value of an unlimited life intangible asset other than goodwill is less than its book value, an impairment loss must indeed be recognized. This is true according to generally accepted accounting principles. Companies assess their intangible assets for impairment when there is evidence that events or changes in circumstances indicate that the carrying amount may not be recoverable. The carrying amount is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. If this assessment indicates that the carrying amount is not recoverable, an impairment loss is measured and recorded to bring the carrying value in line with its fair value