Subsequent Measurement Research On Business Merger Goodwill

Encouraged by the country's favorable policies,the capital market has become increasingly active and the number of market participants participating in mergers and acquisitions has gradually increased since 2014.Merger and acquisition activities have started an upsurge.Many companies pay high premiums for M&A activities,resulting in a lot of goodwill.After the merger and acquisition,more and more company's performanc have been seriously affected the in the current period due to the impairment of large amount of goodwill.Frequent occurrences of such events mean that the risk of goodwill impairments is slowly accumulating.Goodwill formed by mergers and acquisitions has increased the company's financial risks.How to reduce the negative impact of goodwill impairments has become a real issue for M&A market participants.Under the wave of business mergers,this article has conducted in-depth research on the accounting treatment of the goodwill arising from the merger.At present,the new enterprise accounting standards require that companies use the impairment test method to conduct subsequent measurement of goodwill.However,whether the provisions of the new guidelines are reasonable is quite controversial in the academic community.In order to study the problems of the impairment test method,the article selects the typical case of the Blue cursor M&A Boge Advertising and compares the difference between the system amortization method and the impairment test method.Then analyzes the cause of goodwill and the conclusions are drawn based on all this analysises.Finally,feasible suggestions and countermeasures are proposed to enrich the research on mergers.The related issues of goodwill have always been controversial and the identification and accounting of goodwill are also complex.The regulations on the follow-up measurement methods of goodwill are constantly updated and changed.From the initial permanent amortization method to the current method of impairment tests,the selection of follow-up measurement methods for goodwill has become the most controversial topic in the accounting field.At the present stage,most of the scholars' research on goodwill is to compare the advantages and disadvantages of the equity method and the purchase method and discuss how to reasonably measure the goodwill.For the subsequent measurement of goodwill,a mathematical model is alwaysd established and regression analysis is used,which has a strong academic character.The feature of this paper is to put the perspective of research on the follow-up measurement of goodwill,using case analysis method and discussing the problems of the current method of subsequent measurement of goodwill.At the same time,make suggestions for impairment test method.It is of practical significance to improve the risk control and accounting standards of goodwill in China.