This course provides an in-depth overview of the accounting and reporting requirements with respect to business combinations as prescribed by Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 805, Business Combinations. The overall objective of the guidance included within ASC 805 is to improve the relevance, representational faithfulness, and comparability of the information that a reporting entity provides in its financial reports about a business combination and its effects.
Learning Objectives
Upon successful completion of this course, participants will be able to:
Identify the definition of a business as it relates to a business combination transaction
List the steps involved in the acquisition method
Identify the acquisition date for a business combination
Recognize how to measure goodwill and gains from bargain purchases
Identify the measurement period for business combinations
Recognize financial statement disclosures related to business combinations
Major Topics
Definition of a Business
The Acquisition Method
Determining the Acquisition Date
Recognizing and measuring the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquirer
Business Combination Achieved in Stages
Recognizing and Measuring Goodwill or Gain from a Bargain Purchase
Measurement Period
Subsequent Measurement
Financial Statement Disclosures
Reverse Acquisitions
Income Tax Considerations
Asset Acquisition vs. Business Combination
