Research On Value Correlation Of Goodwiill Impairment

With the development of China's economy,market competition has become increasingly fierce,and the restructuring,mergers and acquisitions and asset restructuring of listed companies have become more frequent.The resulting goodwill information has naturally become a hot spot in capital market research.The managers and capital investors of listed companies have also paid more attention to the report information related to goodwill.However,based on the non-consumptive and unrecognizable characteristics of goodwill,its confirmation and subsequent measurement lacks scientific and accurate.From the subsequent measurement of goodwill-goodwill impairment,existing research indicates that the company will deduct goodwill based on two drivers:the "synergy" decline after the merger and the management's earnings manipulation.Listed companies will make provision for impairment in a timely manner,but when the book goodwill reaches the trillion scale,if the depreciation is concentrated at this time,it will have a very serious impact on the market as a whole,and high reputation will become a capital."The sword of Damocles" on the market.In view of this,whether the impairment of goodwill can truly reflect the reduction of expected excess returns has become the focus of stakeholders in the capital market.The purpose of this paper is to study the value correlation of goodwill impairment,and to explore the impact of goodwill impairment on stock price and stock return rate,and expect to provide report users with goodwill impairment information with reference value.In order to deeply analyze how the impairment of goodwill affects the value of the enterprise,this paper studies the value correlation of the impairment of goodwill from the perspective of earnings management and the internal and external supervision mechanism of the implementation of the standard,and introduces the loss of profit,the quality of internal control and the external Audit quality three adjustm ent variables.Firstly,this paper defines three concepts of goodwill,goodwill impairment and value relevance.Secondly,it expounds the relevant theoretical basis of goodwill impairment research,and studies and analyzes the literature works of scholars at home and abroad.The research results are reviewed in the literature,and the research focus of this paper is summarized.Then,this paper takes the A-share listed companies in the two major securities markets of Shanghai and Shenzhen from 2007 to 20-17 as the research sample,and uses the stock price model and the reward model to conduct an empirical test..The empirical research results show that:(1)goodwill impairment information has value relevance,goodwill impairment information is significantly negatively correlated with stock price and stock return;(2)financial position is profit loss company,its goodwill impairment It still has value relevance,but its value relevance is reduced,indicating that investors can effectively identify the impairment quality of listed companies with earnings management motives to a certain extent;(3)improve the quality of internal control can improve goodwill The value correlation of impairment,but the regulatory role of audit quality has not been confirmed.Finally,the paper proposes the following:(1)Based on the conclusion that the value of goodwill impairment has value relevance,listed companies must carefully choose the merger and acquisition plan to avoid the occurrence of goodwill impairment after merger and acquisition,so as to make the value of goodwill impairment related.Sex can play a better role;(2)The government should standardize and guide the impairment of goodwill in the financial situation of profit loss,and prevent management from weakening the correlation of impairment value of goodwill through poor financial position management.Investors should also pay special attention to the correlation of the impairment value of goodwill in the case of financial losses;(3)The regulatory authorities should regulate the disclosure and supervision of information related to goodwill,and urge the company to combine the disclosure of the table with the disclosure of the off-balance sheet.Strengthen internal control and supervise the supervision of third-party independent auditors.