ABSTRACT
The issues of accounting for acquisitions and mergers arise whenever businesses combine. And whenever acquisition accounting is used – i.e. in most business combinations – the issues surrounding accounting for goodwill also arise. Given the scale of merger and acquisition activity around the world, the importance of the subject matter of this chapter will be evident. Moreover, accounting for acquisitions, mergers and goodwill is an area in which there is still, despite various attempts at harmonization, considerable diversity of practice.
