Research On Goodwill Accounting Of Enterprise M&A

With the gradually optimization of capital market,enterprises often expand business scale?improve operating performance?allocate capital centralized and adjust production capacity by mergers and acquisitions.The huge amount of goodwill formed by high premium mergers and acquisitions has gradually caused the accounting community to discuss.This paper,through combing the theoretical research of goodwill accounting and domestic and international standards for goodwill accounting,we found that there are many problems in the initial confirmation,subsequent measurement,and information disclosure of goodwill.This article selects the typical enterprise of the Internet game industry,OURPALM Company,and take OURPALM Company acquired 80% equity of TIANMASHIKONG Company as the study case to study the content of goodwill in terms of confirmation,measurement,record and report.In the initial confirmation of goodwill,factors such as the appreciation of the value of the acquired company,the high price of the underlying pricing due to the trading system of the share payment,or the consideration of the price have all resulted in the overestimation of goodwill.In follow-up measurement,whether the goodwill is impaired is ambiguous,information disclosure is incomplete,and the current method of impairment testing cannot accurately reflect the economic nature.In the disclosure of information in the OURPALM Company,there was no specific and detailed disclosure of the process of impairment testing of goodwill and calculation of relevant indicators.At present,the disclosure of goodwill accounting information also has problems such as poor supervision and imperfect system.On the basis of the case study,the author believes that the optimization about the initial confirmation and subsequent measurement of the consolidation of goodwill should be conducted in the following aspects.Firstly,improve the initial recognition of goodwill,formulate a unified method and guide for asset assessment,improve the M & A trading system,control the proportion of share-based payments,recognize and assess the fair value of contingent considerations reasonably.Secondly,the subsequent measurement of goodwill adopts a combination of system amortization method and impairment test method to satisfy the reliability,comparability,and correlation requirements of accounting information.Finally,we continuously strengthen the supervision of accounting information disclosure,formulate a more complete information disclosure system,enhance the effectiveness of the capital market and theintegrity and transparency of accounting information,and continue to promote the development of the capital market healthily and orderly.