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Many purchase business combinations involve the recognition of goodwill. Except to those who follow every bit of accounting standard update, talking about accounting for goodwill today...
Goodwill is not subject to amortization. Instead, companies must conduct periodic impairment testing. The amount of goodwill that a company maintains on its books as an...
Under the accounting rule known as SFAS 142, companies are required to perform an annual goodwill impairment test regardless of whether there is a triggering event....
A business combination occurs before a consolidation. Business combinations must be accounted for under the purchase method. Accounting and reporting requirements, and disclosures must be considered...
Asset impairment occurs when the fair value of an asset declines below the amount at which it is recorded on the books (its carrying amount). Impairment...
Intangible Asset is a not an easy subject in financial accounting. It is hard to be valued. On other hand, types of intangible been growing up rapidly. Consequently, accounting standard...
The purpose of IAS 38, Intangible Asset is to prescribe the recognition and measurement criteria for intangible assets that are not covered by other Standards. This...
When circumstances indicate that the goodwill may have become impaired, the remaining goodwill will be estimated. If the resulting estimate is less than the book value...
Generally the most significant non-current asset in terms of value is a company’s investment in property and equipment. These are the assets that companies commit millions...
A purchaser may attempt to forecast the future income of a target company in order to arrive at a logical purchase price. Goodwill is often, at...