3 October 2016
The ASBJ published Research Paper No. 2, Quantitative Study on Goodwill and Impairment with a view to contribute to the global discussion regarding the accounting for goodwill.
In response to the request from the International Accounting Standards Board (IASB), the ASBJ staff have conducted a quantitative study on goodwill and impairment in cooperation with European Financial Reporting Advisory Group (EFRAG) staff.
The objective of the quantitative study is to illustrate the trends in the amounts of goodwill and impairment, with the aim of facilitating the technical and conceptual discussions related to the accounting for goodwill by accounting standard setters around the world.
The quantitative study covers 1,069 listed companies out of 1,280 listed companies that constituted the four major stock market indices in the United States, Europe, Japan and Australia from 2005 to 2014. Listed companies that were excluded from the quantitative study are as follows:
The study presents data on the following items:
We hope that the research paper facilitates the technical and conceptual discussions related to the accounting for goodwill internationally.
EFRAG’s quantitative study, WHAT DO WE REALLY KNOW ABOUT GOODWILL AND IMPAIRMENT? – A QUANTITATIVE STUDY can be accessed here.