Research On Goodwill And Its Accounting

With the continuous development of economic globalization, the merger between enterprises is increasing, it has gradually become a kind of objective existence and the profound influence on the development of enterprises, but because of the complexity of its components, its particularity, in the field of accounting is a protracted dispute about it.Goodwill is a kind of can make the enterprise to obtain excess profits of economic value, in the real case, it is the acquisition of enterprises for the completion of the acquisition cost is greater than the net assets value of enterprise is the acquisition of part of the difference. It plays an important role in the enterprise, the accounting treatment about it have a great impact on the financial statements of the enterprise also. Effective establishment of goodwill is enterprise must pay attention to in the course of business, accounting for goodwill effectively to enable enterprises to better understand the enterprise in the position in the industry, and give full play to the role of goodwill. On the accounting for goodwill by. In the process, can help the enterprises to find the problems and improve their own management, to improve their own economic interests and the status of the industry.In the background of integration of world economy, the various forms of mergers and acquisitions activities become more active, M&A is no longer confined to the domestic enterprises, cross-border mergers and acquisitions are more, the enterprises of our country will face and participate in international competition in the market. At this point, the enterprise will enhance competition ability through restructuring, mergers and acquisitions, asset restructuring and other ways. But the goodwill as an intangible asset, will have a huge impact on the development and the income of the enterprise, so the essence of goodwill and understanding of the source, can let us understand the goodwill fundamentally, characteristics and composition, and for the internally generated goodwill analysis and research, to better confirm the assets in enterprise merger when. Meet the accounting of an enterprise goodwill can better the user’s information demands, so that it can be more comprehensive understanding of the status of corporate assets. Specification for confirmation, it is essential to measure in the enterprise merger goodwill.