Goodwill Impairment

In 2001, goodwill amortization in the US was eliminated in favor of an impairment-only approach, which, according to critics, gives managers vast discretion and opportunities for earnings management. Prior research suggests that discretionary asset write-offs are associated with economic factors and...

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Glavni avtor: Sellhorn, Thorsten
Format: Online
Jezik:angleščina
Izdano: Peter Lang International Academic Publishers 2021
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Online dostop:1003253
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author Sellhorn, Thorsten
author_browse Sellhorn, Thorsten
author_facet Sellhorn, Thorsten
author_sort Sellhorn, Thorsten
collection Directory of Open Access Books
description In 2001, goodwill amortization in the US was eliminated in favor of an impairment-only approach, which, according to critics, gives managers vast discretion and opportunities for earnings management. Prior research suggests that discretionary asset write-offs are associated with economic factors and managers’ financial reporting objectives. Based on a systematic literature review, this study investigates for a comprehensive sample of US firms the determinants of goodwill write-off behavior. Regression analysis shows that write-off behavior is significantly explained by firms’ economic properties. Only in large, high-profile firms, incentives appear to be significant determinants. These findings suggest that the impairment-only approach does capture goodwill impairment at least to some extent.
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spelling doab-20.500.12854ir-359302025-01-27T00:28:13Z Goodwill Impairment Sellhorn, Thorsten Bilanzpolitik Empirical Firmenwert Generally Accepted Accounting Principles Geschäftswert Goodwill Goodwill Impairment Impairment Investigation Offs Sellhorn SFAS under USA US-GAAP Wertberichtigung Write thema EDItEUR::K Economics, Finance, Business and Management::KF Finance and accounting::KFC Accounting::KFCX Accounting: study and revision guides thema EDItEUR::K Economics, Finance, Business and Management::KJ Business and Management::KJM Management and management techniques::KJMV Management of specific areas::KJMV1 Budgeting and financial management In 2001, goodwill amortization in the US was eliminated in favor of an impairment-only approach, which, according to critics, gives managers vast discretion and opportunities for earnings management. Prior research suggests that discretionary asset write-offs are associated with economic factors and managers’ financial reporting objectives. Based on a systematic literature review, this study investigates for a comprehensive sample of US firms the determinants of goodwill write-off behavior. Regression analysis shows that write-off behavior is significantly explained by firms’ economic properties. Only in large, high-profile firms, incentives appear to be significant determinants. These findings suggest that the impairment-only approach does capture goodwill impairment at least to some extent. 2021-02-10T12:58:18Z 2019-01-10 23:55 2018-12-01 23:55:55 2020-01-16 11:31:17 2020-04-01T11:23:42Z 2018 book 1003253 OCN: 1082943952 http://library.oapen.org/handle/20.500.12657/26792 9783631754986 https://directory.doabooks.org/handle/20.500.12854/35930 eng Bochumer Beitraege zur Unternehmensfuehrung open access image/jpeg image/jpeg image/jpeg image/jpeg image/jpeg n/a n/a n/a n/a n/a https://library.oapen.org/bitstream/20.500.12657/26792/1/1003253.pdf https://library.oapen.org/bitstream/20.500.12657/26792/1/1003253.pdf https://library.oapen.org/bitstream/20.500.12657/26792/1/1003253.pdf https://library.oapen.org/bitstream/20.500.12657/26792/1/1003253.pdf https://library.oapen.org/bitstream/20.500.12657/26792/1/1003253.pdf Peter Lang International Academic Publishers 10.3726/b14014 10.3726/b14014 44a712f0-ee17-4c08-a667-46effed595e7 9783631754986 350 Bern open access
spellingShingle Bilanzpolitik
Empirical
Firmenwert
Generally Accepted Accounting Principles
Geschäftswert
Goodwill
Goodwill
Impairment
Impairment
Investigation
Offs
Sellhorn
SFAS
under
USA
US-GAAP
Wertberichtigung
Write
thema EDItEUR::K Economics, Finance, Business and Management::KF Finance and accounting::KFC Accounting::KFCX Accounting: study and revision guides
thema EDItEUR::K Economics, Finance, Business and Management::KJ Business and Management::KJM Management and management techniques::KJMV Management of specific areas::KJMV1 Budgeting and financial management
Sellhorn, Thorsten
Goodwill Impairment
title Goodwill Impairment
title_full Goodwill Impairment
title_fullStr Goodwill Impairment
title_full_unstemmed Goodwill Impairment
title_short Goodwill Impairment
title_sort goodwill impairment
topic Bilanzpolitik
Empirical
Firmenwert
Generally Accepted Accounting Principles
Geschäftswert
Goodwill
Goodwill
Impairment
Impairment
Investigation
Offs
Sellhorn
SFAS
under
USA
US-GAAP
Wertberichtigung
Write
thema EDItEUR::K Economics, Finance, Business and Management::KF Finance and accounting::KFC Accounting::KFCX Accounting: study and revision guides
thema EDItEUR::K Economics, Finance, Business and Management::KJ Business and Management::KJM Management and management techniques::KJMV Management of specific areas::KJMV1 Budgeting and financial management
topic_facet Bilanzpolitik
Empirical
Firmenwert
Generally Accepted Accounting Principles
Geschäftswert
Goodwill
Goodwill
Impairment
Impairment
Investigation
Offs
Sellhorn
SFAS
under
USA
US-GAAP
Wertberichtigung
Write
thema EDItEUR::K Economics, Finance, Business and Management::KF Finance and accounting::KFC Accounting::KFCX Accounting: study and revision guides
thema EDItEUR::K Economics, Finance, Business and Management::KJ Business and Management::KJM Management and management techniques::KJMV Management of specific areas::KJMV1 Budgeting and financial management
url 1003253
work_keys_str_mv AT sellhornthorsten goodwillimpairment