Analysis Of Merger Goodwill Impairment Test Method

In the context of the emergence of corporate mergers and acquisitions,the subsequent measurement of goodwill is increasingly important to companies.At present,China gradually converges with the international community in the subsequent measurement of goodwill.The accounting standards for the subsequent measurement of goodwill are also approximately the same.Both the International Accounting Standards and China's Accounting Standards use the impairment test method as a measure for the subsequent measurement of goodwill.However,there are many problems in the practical application of the impairment test method,which has caused a lot of controversy.This article will analyze the current provisions of China's accounting standards related to impairment test method and the current status of the application of impairment testing method in China,and in combination with the case of Watson Biology,detailed analysis of Watson biological goodwill impairment process and results.And where the impairment test method is not reasonable in application,the problems existing in the impairment test of goodwill are summarized,relevant recommendations are made,and accounting standards for subsequent measurement of goodwill are improved.In the second chapter,the article summarizes the relevant documents on the subsequent measurement of goodwill and goodwill,and focuses on the relevant literature of the impairment test method.In Chapter 3,the applicability of several measurement methods for the follow-up of goodwill is analyzed,and it is considered that the impairment test method is the most appropriate current follow-up measurement method of goodwill in China,followed by a simple example for China's current accounting standards.The relevant regulations were explained in detail.Then,according to the statistics of relevant data in the wind database,the application status of goodwill in China was described,and the problems existing in the actual application of China's impairment testing method were analyzed.Chapter 4 is a detailed explanation of the application of the impairment test method in Chinese companies in combination with the case of Watson Biology,mainly from the process of impairment of Watson Bio-Goodwill,the consequences of impairment,and the impact on the company.Several aspects were carried out to discover the controversy in the application of Watson biological impairment test.The fifh chapter is aimed at the above analysis of China's application of the depreciation test method in China and the Watson biological case,draws conclusions and puts forward relevant recommendations.At present,the research on goodwill of the accounting department is mainly focused on the method of initial measurement of goodwill.Most of the subsequent measurement of goodwill is through the establishment of models.For regression analysis of data,it is highly academic and rarely available.A follow-up measurement method for goodwill was studied in conjunction with the case.This article uses cases to conduct an in-depth study of the application of the goodwill impairment test method in China,focusing on the impairment process of goodwill and the impact it will have on the company.The findings of the impairment test method will help improve the follow-up of goodwill.Measurement accounting standards.