Instructor for this course
more

When an entity (the buyer) takes control of another entity (the target), the fair value of the underlying exchange transaction is used to establish a totally new basis of accounting of the acquired entity for business combination purposes. Generally, goodwill and non-controlling interests result from acquisition transactions. 

Business combination accounting can be very complex, particularly because fair value measurement of acquired assets and assumed liabilities is generally required.  This course highlights the answers to the most common questions faced in the business combination process in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 805: Business Combinations, including the proper calculation of goodwill.

Learning Objectives

  • Discover the basic principles in Accounting Standards Codification (ASC) Topic 805: Business Combinations that generally underlie business combination transactions.
  • Explore the primary four-step business combination model.
  • Identify initial recognition and measurement matters, including proper accounting of goodwill and non-controlling interests.
Last updated/reviewed: November 21, 2019

12 Reviews (44 ratings)Reviews

5
Anonymous Author
Course provided a great overview of the business combinations model to be followed when there is a change in control of a legal entity. I appreciated the considerations placed on the steps in the process that come before determining the PPA of the purchase and what constitutes a change in control.
3
Anonymous Author
The instructor is very knowledgeable about the subject matter and the course provides a good overall value. There appears to be a technical issue related to the functionality of the microphone, which can hopefully be resolved.
4
Anonymous Author
Great overview of business combinations. Would be great to see more around pushdown accounting, especially for startups that have private equity investors and unique implications around elimination of accumulated deficits.
4
Member's Profile
This course is a good recap and overview of business combination and non controlling interest. The presenter could have used better slides to show ownership %s etc to categorize nci equity etc
5
Anonymous Author
Very thorough overview of accounting for business combinations. Explained the fundamentals well and also the lesser likely scenarios and circumstances involved.
4
Member's Profile
Good, fairly detailed content. There were one or two concepts that I wish more time had been devoted to. This could have easily been a 1.5 or 2 hour course.
4
Member's Profile
It is a good course to refresh your memory about business combinations. For the first-time learners a longer and more detailed course would be better.
5
Anonymous Author
This session is a great overview of ASC805 for anyone new to ASC805 and a review for someone who has worked on business combination.
5
Member's Profile
I enjoyed this course and there is no doubt that Jennifer Louis is an expert with accounting for business combinations.
4
Anonymous Author
good course for all accounting professional to take; instructor was very clear and concise about the concepts
4
Anonymous Author
Good overview of business combinations. Serves its purpose as an introduction, leaves open nuances.
4
Member's Profile
Very good one hour course on biz combinations. Covered a lot of ground in an hour

Prerequisites

Course Complexity: Intermediate

No advanced preparation or prerequisites are required for this course.

Education Provider Information

Company:
Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact:
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
INTRODUCTION AND OVERVIEW
  1:15Introduction to An Overview of the Business Combination Process, Including Calculating Goodwill
  10:27What is a Business Combination?
  3:55Other Matters Not Covered By This Course
  12:04Four Steps in Accounting For a Business Combination
  7:14More About Step 3: Recognize and Measure Assets and Liabilities
  4:23More About Step 4: Recognize and Measure Goodwill or Bargain Gain
  4:42Consideration Transferred
  7:36Non-Controlling Interest
  4:32Measurement Period Adjustments
CONTINUOUS PLAY
  56:07An Overview of the Business Combination Process, Including Calculating Goodwill
SUPPORTING MATERIAL
  PDFSlides: The Basics of Accounting for Equity Investments in Entities
  PDFThe Basics of Accounting for Equity Investments in Entities Glossary/Index
REVIEW AND TEST
  quizREVIEW QUESTIONS
 examFINAL EXAM