Analysis On The Huge Impairment Of The Santai Holdings' M&A Goodwill

Goodwill is controversial in theory and practice.On the one hand,because of its particularity,such as illegibility,strong asset dependency,obvious value change,it is difficult to measure and evaluate in the future.On the other hand,goodwill has a great impact on enterprises.Because accounting standards can't identify and measure the regulated goodwill separately,the impairment test of goodwill is facing a great challenge in M & A cases.With the continuous development of China's market economy,enterprises in order to obtain higher economic benefits,continue to enter new business areas,and M & A as their priority.However,M & A can not avoid the problem of goodwill.Many companies form goodwill in the process of M & A,and then they will choose to make a large amount of provision for impairment of goodwill in the next few years,which makes some enterprises "turn profit into loss" in one year,and the amount of loss is huge,and then there will be a trend of intermittent profit and loss,even some enterprises will make a large amount of provision for impairment of goodwill There is a continuous loss.Based on this,this paper analyzes the problem of the impairment of the huge M &a goodwill,and takes Santai stock as the target case.Combined with the relevant theoretical knowledge of the M & a goodwill,it focuses on the analysis of the causes of the formation of the huge goodwill of Santai holding,the economic consequences and specific countermeasures.Finally,it puts forward the feasibility suggestions for the control of the relevant risks of the huge goodwill For reference.Combined with the research results at home and abroad,this paper also extensively collects the literature about the recognition and measurement of M & a goodwill,influencing factors,economic consequences,impairment risk,etc.,and comprehensively analyzes the formation,measurement,impairment and other issues of the huge goodwill of Santai Co.,Ltd.based on the concept of excess return.The main ideas of the study are introduction,theoretical overview,the case overview of Santai holding's acquisition of Yantai Weian,the formation of huge M & a goodwill and impairment analysis,research conclusions and enlightenment.Research methods include literature study and case study.In view of the specific problems,the listed companies should make clear the overall development direction of the enterprise and make rational M & A;treat the performance commitment and compensation agreement rationally;the listed companies should improve their business integration ability andplay a synergistic role in M & A;the small and medium-sized investors should strengthen their understanding of the formation of M & a goodwill and the risk of value reduction;the regulatory authorities should improve the recognition and subsequent measurement methods of M & a goodwill and relevant laws Regulatory authorities should strengthen the supervision of goodwill impairment test and information disclosure in six aspects,which is conducive to improve the prevention of the risk of goodwill impairment and the improvement of relevant accounting standards.