The Influences Of Goodwill Recognition On Enterprise Values In Reverse Purchase

Compared with IPO,the advantages of back-door listing lie in the relatively simple audit process and less time.Therefore,for those companies with urgent demands for time,back-door listing is the priority of achieving the listing qualification.In 2017,Qihoo 360's back-door listing of Jiangnan Jiajie aroused national heated debates of how to select a shell company.Reverse purchase is in the category of back-door listing.The regulation of reverse purchasing theory is not perfect in our country.In practice,there are different processing methods for the goodwill recognition in reverse purchasing,which provides a research direction in this paper.This paper mainly focuses on different recognition principles of shell resource values leading to different goodwill recognition,which would have various impacts on the values of listed companies.Around the core content,first of all,this paper reviews large number of domestic and foreign literature materials including choices of combination methods,combination costs,confirmation and measurement of goodwill.Based on these literature review,this paper makes a summary.Secondly,this paper applies case analysis method.In this paper,YouBo Pharmaceutical Co.,Ltd reverse purchaseing of Jiuzhitang Co.,Ltd.are selected as the target objects to explain the combination costs and methods of goodwill recognition.Besides,the paper introduces Shanxi Bikang Group Co.,Ltd reverse purchasing of Jiujiujiu Corp.as the comparable objects to analyze different combination costs and methods of goodwill recognition in this case,which explains the cause of differences is whether the value of shell resources is recognized in goodwill.Thirdly,the paper combines theory with practice,summarizing cases to propose problems in reverse purchase and put forward suggestions for the problems.The case study concentrates on the pharmaceutical industry.With the background of merger and acquisition integration in pharmaceutical industry,this paper analyzes the nature of reverse purchasing goodwill and accounting methods,exploring the effects of different goodwill recognition on the enterprise values.It is expected that this paper can provide theoretical basis and practical references for further specification and perfection of reverse purchasing theory.