ABOUT THE AUTHOR
Marc Santos
Marc Santos
Marc Angelo G. Santos is an Accounting Supervisor with the Scrubbed Technical Accounting Group. He ranked 5th during the 2019 CPA Board Exam. He has experience in preparing technical memorandums for clients. He also assists public and private companies in preparing financial statements, including note disclosures, account reconciliations, and disclosure checklists, and provides technical accounting consultation. Before joining Scrubbed, he was a Senior Associate at Isla Lipana & Company (PwC Philippines), handling financial statement audits for public and private companies.
Content
Simplifying the Test for Goodwill Impairment
The complexities of goodwill impairment often present a challenge for companies. During a business combination, the excess of the amount of consideration paid by an acquirer and the net asset’s fair value of the acquiree is known as goodwill. When the value of the net asset of a reporting unit declines, goodwill impairment may have occurred.