Purchase Accounting

Filed Under: p by
Purchase Accounting
Accounting technique used with mergers. Acquirer is considered to have inherited all assets and liabilities of the acquired. These assets and liabilities are taken at fair market value to present an accurate picture. Goodwill is considered to be the difference between the net assets valuation and the actual price paid for acquisition.

Recommended for you:

  1. Goodwill
  2. Accounting Insolvency
  3. Inventory Accounting
  4. Tax Accounting
Home / Glossary / p / Purchase Accounting