Research On The Goodwill Impairment Of Listed Companies

Merger and Acquisition is a very important item in accounting.In recent years,with the rapid development of society,the development speed of enterprises has also been improved rapidly.In the case of slow internal development,it is a relatively fast way to enter a new field in the way of Merger and Acquisition.Thus the market has caused a wave of wave after wave of mergers and acquisitions.However,in such a rapid development of mergers and acquisitions,the corresponding accounting treatment problems also come with it.For example,the recognition and impairment of consolidated goodwill and the disclosure of accounting matters still existence some aspects to be improved.So in this paper,by analyzing the pro le send the world to produce high technology Merger and Acquisition goodwill provision for a lot of cases impairment provision,then exposed in practice with some problems of the measurement of goodwill.This article first adopts the literature research method,expounds the literature review related to the goodwill,the relevant rules and the accounting treatment and other theoretical knowledge,and provides the theoretical basis for the follow-up research.Then the analysis of the case we found that the initial recognition of goodwill is blind overvalued.Lehuitianxia limited company,which was founded shortly after it was founded,is worth more than a dozen times the fair value of the company,and the goodwill amount is as high as 580 million CNY,its performance promises are very high,maybe the recognition of goodwill is a departure from substance.This is not the excess return,but the compensation for the high net profits promised in the future.So late due to the large decline in net profit performance promise unfulfilled,pro technology choose to sell equity and all goodwill impairment provision for more than 500 million CNY,cause net income large losses,stock prices have plunged.From this,we can see that there are a series of problems in the initial recognition of goodwill.Then we talk about the follow-up measurement of goodwill.Practice has proved that at the end of the year,the complexity of the impairment test is more complex.If only using the impairment test method,it can bring the larger final workload and pressure to the enterprise,and the subjective deviation from the objective phenomenon of the financial personnel will affect the reliability of the financial information.And information disclosure is very little about goodwill,generally only disclose a conclusion,the measurement process,the conclusion of the reason and item has not been disclosed,deeply influence the information asymmetry of information of users.Finally,propose corresponding personal suggestions for the above mentioned problems.Such as stepping up efforts in supervising the Merger and Acquisition goodwill early confirm and to strengthen the internal management of the enterprise itself to the acquired enterprise to fully understand and so on,as far as possible avoid false reputation of big confirmed that lead to market distortions.It is suggested to use the system amortization method and the subsequent measurement method of impairment test to increase its practicability.Improve goodwill related information disclosure system,because of goodwill is very special,and hence require companies to disclose financial information related to goodwill,and disclose the corresponding non financial information,such as industry status,industry reputation,reflect the goodwill value items such as the core technology.