The Research On Judgment Basis Of Goodwill Impairment Based On Zeus Entertainment

Driven by policy support and the continuous development of the capital market,listed companies actively invested in mergers and acquisitions and reorganization around 2015,and integrated the upstream and downstream of the industry or implemented a diversified strategy to seek development,which formed a continuous boom of listed companies.Among them,the Internet,information technology,film and television entertainment,education and other industries have become popular industries among the M & A boom because of their great development potential.Taking Internet gaming companies as an example,high-premium mergers and acquisitions are particularly common.Now that the growth of the gaming industry has slowed significantly,high-premium mergers and acquisitions companies now face the sequelae of large-scale goodwill impairment.In 2018,849 listed companies withdrew a total of 166.77 billion yuan of goodwill impairment provisions.It is of great significance to study the deep judgment basis and risk response of this huge amount of goodwill impairment.Based on the above background,this article takes the goodwill impairment judgment basis as the research focus,analyzes the impairment judgment basis of representative companies through cases,and explores the possible problems.First,introduce the research background and the current research status related to the impairment of goodwill,and summarize the relevant theories of goodwill measurement and impairment judgment.Secondly,according to the situation of the provision of overall goodwill impairment losses and the reduction of goodwill of China’s A-share listed companies,and the distribution rule of the value industry and the simple judgment basis in the disclosure of the impairment of goodwill,a statistical analysis is carried out.And here lead to the research object of this article is focused on the representative company of Zeus Entertainment.After a series of mergers and acquisitions from 2015 to 2017,Zeus Entertainment ranked the forefront of the industry.But in 2018,a large amount of goodwill was impaired,which lead to the performance changing suddenly,and the development process was representative of the industry.Then,it describes the background and process of the M & A of Zeus Entertainment series and the process of impairment of goodwill;for the impairment of goodwill,from the completion of the performance commitment to the gambling agreement,the development of the M & A target,the internal governance of the company,and the integration of M & A integration Four aspects of effect play,in-depth analysis of the judgment basis of Tenjin Entertainment’s goodwill impairment;and analysis of goodwill formation and goodwill impairment testing and conclusion that Zeus Entertainment has high M & A valuations and huge impairment Insufficient provision.Based on the above judgment analysis of goodwill impairment,this article concludes that listed companies should carefully evaluate the selection of M & A targets during mergers and acquisitions,improve their own investment mechanism and pay attention to the synergy effect after mergers and acquisitions,to mitigate the impact of their own goodwill impairment;The basis for the impairment of goodwill,from the market,theory and regulatory level,put forward suggestions for the improvement of goodwill measurement and impairment provision,and also put forward its own thinking on how listed companies and regulatory authorities should respond to goodwill impairment judgments,with a view to improving goodwill and impairment value measures quality.