Income-Generating Unit

Cash-Generating Unit (Income-Generating Unit)
A cash-generating unit (CGU) is a subset of assets, liabilities, and associated goodwill within a reporting entity that contributes to generating cash inflows in a largely independent manner from other parts of the organization.
Income-Generating Unit
An income-generating unit (IGU) is a distinct segment within a business or an investment that is capable of generating revenue independently. Understanding IGUs is crucial for effective financial reporting and valuation.

Accounting Terms Lexicon

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