Instructor for this course

Goodwill is an intangible asset generated from the acquisition of one entity by another.  It is the difference between the price paid by the acquirer for a business, and the amount that cannot be assigned to any individually-identified assets and liabilities acquired in the transaction.  The accounting for goodwill can range from simple to complex. 

This course describes some of the most common issues related to the initial measurement and subsequent accounting for goodwill and acquisition-related expenses in a business combination.

Learning Objectives

  • Discover how to initially calculate goodwill under U.S. generally accepted accounting principles (GAAP) Accounting Standards Codification (ASC) Topic 805: Business Combinations, including simplifications available to nonpublic business entities.
  • Explore how to initially account for the buyer’s acquisition-related costs (such as legal, valuation, and other fees), as well as any seller’s costs paid for by the buyer.
  • Recognize the subsequent measurement and reporting of goodwill and acquisition-related costs, including impairment considerations.
Last updated/reviewed: June 17, 2021

10 Reviews (39 ratings)Reviews

Anonymous Author
The course provides a great overview of the goodwill accounting as part of an acquisition that falls in accordance with ASC 805. The course also provided an overview of allocating goodwill to non-controlling interest which is something that I have not seen thus far. It will be incorporated as an item I will be on the lookout for when accounting for future business combinations.
Anonymous Author
This course provided a great overview of the steps taken to recognize goodwill in a business combination. I really appreciated the extra complexities associated when a business combination includes a non-controlling interest portion.
Member's Profile
I really enjoyed the update on the treatment of valuing goodwill and the recent FASB updates. I really enjoyed Jennifer Louis lecture due to her clarity and technical expertise.
Anonymous Author
Despite of the complexity of the topic, the course presents and disects the concepts effectively. The instructor is very knowledgeable on the subject matter.
Anonymous Author
Very informative and quick overview of a complex topic. This helped but I will need a more in-depth course to fully understand it.
Anonymous Author
Topics are well-organized and explained clearly, making practical application simple and adding value to the course overall.
Anonymous Author
This course provided a good overview of accounting for goodwill in a business combination.
Anonymous Author
This was a great course regarding Goodwill impairment and non controlling interest.
Anonymous Author
very good course. the content was very complete and easy to understand
Anonymous Author
Good overview of current standard and new pronouncements


Course Complexity: Intermediate

No advanced preparation or prerequisites are required for this course.

Education Provider Information

Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Course Syllabus
  1:07Introduction to Accounting for Goodwill in Business Combinations
  1:26The Four Step Model - Overview
  5:30Initial Recognition and Measurement - Assets Acquired
  5:14Intangible Asset Special Considerations
  7:15Initial Recognition and Measurement - Liabilities Assumed
  2:51Costs to Restructure the Acquired Company
  4:58Exceptions to Fair Value Recognition and Measurement Principles
  9:49The Four Step Model - Recognizing Goodwill or Bargain Purchase Gain
  13:09Subsequent Measurement - Impairment of Goodwill
  6:17Recent FASB Activity
  57:36Accounting for Goodwill in Business Combinations
  PDFSlides: Accounting for Goodwill in Business Combinations per ASC 805
  PDFAccounting for Goodwill in Business Combinations per ASC 805 Glossary/Index