Research On J&R Optimum Energy Goodwill Impairment Risk And Precaution

In recent years,with the continuous expansion of capital market mergers and acquisitions,the book goodwill of listed companies has grown rapidly.The issue of impairment has become more and more serious.The provision for the impairment of large sums of goodwill has seriously affected the net profit of listed companies.Some companies suffered huge losses.Companies with large impairment losses tend to pay higher amounts in mergers.Premium,and in accordance with the current accounting standards to confirm the high value of goodwill,which exposed the future impairment of goodwill,A series of issues have aroused widespread concern.At the same time,from the point of view of the motive for the impairment of goodwill,there are also many companies.It is difficult for users of financial reports to obtain the truth by making use of the imperfections of the impairment standard of goodwill for surplus management.Reliable financial information.There is still much room for research and discussion on the impairment of goodwill.In view of the above background,on the basis of previous studies,this article chooses the case of Wotema's merger and acquisition to carry out research and discussion,analyze the reasons for the huge amount of goodwill impairment preparation of the case companies,and then explore the obstacles encountered in the implementation of goodwill accounting standards.And make some suggestions.The paper first introduces the definition of goodwill and various theories of goodwill,lays the theoretical foundation for the thesis,and then leads to the Wotema merger and acquisition event.It focuses on the impact of the early and late merger and acquisition on corporate performance,and points out that mergers and acquisitions will affect corporate goodwill.Then affect the business performance of the enterprise.In the study on the preparation of huge impairment of goodwill,the paper first analyzes the confirmation of goodwill,then studies from the perspective of measurement and surplus management,and then draws the corresponding conclusions.Through a series of analysis,the conclusion is obtained.Firstly,in the aspect of goodwill confirmation,the reason of the huge impairment of goodwill caused by the merger and acquisition activities is the high premium generated by the merger and acquisition activities.The high premium is mainly affected by the way of net asset recognition and asset assessment.Secondly,in terms of measurement,the reason why the effect of impairment testing of business goodwill is not fully played out is mainly because the regulatory agencies do not pay enough attention to corporate irregularities,the regulations for impairment testing are not strict and detailed enough,and the criteria for asset division are unreasonable.These problems make the goodwill impairment test become a tool for enterprise earnings management,and the supervision role of enterprise management has not been played.This thesis puts forward the following suggestions for the management of listed companies after the above analysis:first,confirmation of the initial amount of goodwill shall be done,meanwhile,steps and methods should be standardized such as formulating uniform,clear and easily identifiable criteria for asset identification,in addition,the assets of the target enterprises should be reasonably evaluated;secondly,the subsequent measurement,impairment and amortization should be simplified by the government and relevant regulatory bodies.It is necessary for the government to demand some information disclosed turn into mandatory disclosure.Enterprises do not comply with the rules should be severely punished.In this way,enterprises should be warned and guided to disclose and manage goodwill information in accordance with the regulations.