Research On Goodwill Impairment Of DFJG Acquisition PLD Co.,Ltd.

As an important means for enterprises to enhance their competitiveness,can help them achieve epitaxial growth and inject fresh blood into the capital market,but at the same time they lay huge risks.In some mergers and acquisitions,the amount of goodwill confirmed by the acquirer even accounted for more than 80% of the merger consideration.Frequent occurrences of high-premium mergers and acquisitions have continued to increase the total goodwill of listed companies in China.After trillions of yuan,as of the third quarter of 2018,the total goodwill of the A-share market has soared to 1.45 trillion yuan.Faced with such a large amount of book goodwill,if its potential impairment risk erupts,it may not only cause the company's performance to "face up",but also endanger normal market order and trigger systemic risks.Therefore,exploring the influencing factors of M & A goodwill and how to curb the M & A goodwill bubble has become an urgent problem to be solved.Based on this,this article takes DFJG's acquisition of PLD as the research object,in-depth research on the generation of goodwill,the ins and outs of the provision for large-scale goodwill impairment,and from the perspective of accounting,it analyzes the company's provision of large-scale goodwill Value problems,and propose corresponding measures based on these problems.This paper first introduces the research background and significance as well as the literature review at home and abroad and draws the questions to be studied.Secondly,the theory of the impairment of goodwill is elaborated,which lays the foundation for the case analysis at the theoretical level.The next step is to describe the process by which DFJG has generated a huge goodwill of approximately 4.15 billion yuan in order to enter the new energy automobile industry and acquire PLD.In the second year after the merger,DFJG made a depreciation reserve of about 3.85 billion yuan,resulting in a large loss of net profit this year.This paper analyzes the problems of goodwill impairment mainly because the valuation data indicators are not determined according to the actual conditions of the underlying assets,resulting in high valuation of the overvalued assets of the merger.PLD's performance is too dependent on related parties and its suppliers and customers.Too much concentration is not conducive to the sustainability of profitability and the stable development of the company;the method of goodwill impairment test is unscientific;the impairment of goodwill has the motive of earnings management.Finally,based on the above questions,some constructive suggestions are put forward.Firstly,the initial measurement of goodwill is improved.According to the actual situation,the valuation method is reasonably selected and the company is acquired in a multi-faceted manner.Then,the subsequent measurement of goodwill is improved,and the impairment test and booth are adopted.The method of parallel sales measures the subsequent measurement of goodwill,and once again recommends that the regulatory agencies strengthen supervision and severely punish the behavior of corporate illegal earnings management.Finally,creatively propose to reduce the overestimation of goodwill by adopting a shared audit method to prevent the impairment of goodwill.risk.