Before we explain how to test goodwill for impairment, you need to understand what a goodwill is all about. The definition of goodwill from the standardIFRS 3 Business Combinationstells us that a goodwill is“an asset representing the future economic benefits arising from other assets acquired ...
What is goodwill? How is the recorded value of goodwill determined?Goodwill:The logo name, a powerful supporter base, and pleasant benefactor relations have much to do with why goodwill exists. Please see below for how goodwill is accounted for....
How to Compute the Book Value of Equity On the balance sheet, you'll see assets listed first and totaled. Next, the balance sheet states the company's liabilities. The last section lists shareholders' equity, which equals assets minus liabilities. To compute book value,subtract the dollar valu...
How to record a sale of equipment with accumulated depreciation? How does the Fixed Asset Manager calculate current period depreciation? Which depreciation method will compute the most depreciation expense over the life of the asset? Which depreciation method is not based on the number...
BVPS will be – Example #2 - (SBI BANK) SBI is one of the leading lenders in India. Vivek, an equity analyst, wants to consider SBI in its portfolio. Suresh recently joined as an intern under Vivek and carried a passion for research. Vivek asks him to compute P/BVPS for SBI and th...
You compute the value of the penalty by multiplying the replacement cost ($500,000) with the multiplier, 0.25 (1 – 0.75). So by violating the coinsurance clause, you are not only unable to receive the full replacement cost, but you also have to pay a hefty penalty. ...
The second step is to compute thenet incomethat belongs to the minority interest owners of the subsidiary. It is simply the subsidiary’s total net income multiplied by the minority interest percentage. Again, using the 25% minority interest percentage, and an assumed net income of $1 million...
(ME) represent the empirical cumulative distribution function of CICresidual, Tr, SV, SI, and ME, respectively. We used the REndo package in R (Gui,2019) to compute the Gaussian copulas of CICresidual*, Tr*, SV*, SI*, and ME*. Significant copula coefficients would indicate endogeneity ...
Your e-commerce business depends on having higher seller feedback. The feedback that you get on Amazon helps you attract more customers and help you succeed. Customer delight and ace your fulfilment game are the two ways to get good seller feedback. ...
You compute the value of the penalty by multiplying the replacement cost ($500,000) with the multiplier, 0.25 (1 – 0.75). So by violating the coinsurance clause, you are not only unable to receive the full replacement cost, but you also have to pay a hefty penalty. ...