Sometimes companies purchase businesses for more than what they are actually worth. The difference between a business' actual worth and what someone pays for that business is referred to as goodwill.

Two of the accounting rules by which companies play the merger game are about to change. A boost to earnings is expected to be one immediate effect. Longer-term, the rule changes will force ...

The Financial Accounting Standards Board has a project to review accounting for goodwill subsequent to its acquisition — again. The issue is whether to continue goodwill impairment testing as required ...

Learn what intangible assets are, their types, and how they impact businesses. Discover how patents, brand names, and intellectual property add value beyond the balance sheet.

Many have started to question the goodwill impairment model under FASB ASC 350-20 and whether it paints the most accurate financial picture in light of the COVID-19 pandemic. In September, the Private ...

As part of our ongoing series on tax issues for accounting firm transactions, this article discusses the benefits of utilizing personal goodwill in accounting firm M&A deals when appropriate. Personal ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

When you feel good about something, you’re usually willing to pay more for it. It’s the same concept when a company considers acquiring another. As a result, acquiring companies are often willing to ...

Though it sounds bad, "negative goodwill" is actually a good thing for a business owner, because it means your company has bought another business for less than that company's fair market value. In ...