Goodwill is an intangible asset, probably the most intangible of all intangible assets, hard to measure and even more difficult to account for. Goodwill today constitutes a much larger part of acquisition prices than it did previously, resulting in a much greater impact on financial statements.
During the twentieth century the concept of goodwill has changed significantly. In the earlier days goodwill was thought of as the good and valuable relationships of a proprietor of a business with his customers. The present concept is broader in that it encompasses many more intangible economic factors of a business enterprise and accountants now consider that goodwill results from the evaluation of the earning power of a business by investors (Johnson, 43).
From an accountant's perspective, goodwill appears in accounts of a company only when the company has purchased some intangible and valuable economic source. Intangibles such as patents and copyrights are examples of identifiable intangible assets. On the other hand, intangibles such as favorable government regulations, outstanding credit ratings, superior management and good labor relations are examples of unidentifiable intangible assets (Tweedie, 27). Goodwill comprises the complete set of unidentifiable intangible assets held by the reporting entity. Generally, goodwill has appeared to be an umbrella concept embracing many features of a company's activities that could lead to superior earning power, such as excellent management, an outstanding workforce, effective advertising and market penetration.
Goodwill definitions may be defined in two different ways: the residuum approach and the excess profits approach. In the residuum approach, goodwill is defined as the difference between the purchase price and the fair market value of an acquired company's assets. Goodwill is a leftover amount that cannot be identified, after a thorough investigation, as any other tangible or intangible asset. In the excess profits approach, goodwill is the difference between the combined company's profits over normal earnings for a similar business. Under this definition, the present value of the projected future excess earnings is determined and recorded as goodwill. This concept is very difficult to measure since future earnings have no certainty. Goodwill can arise in two different ways: It can be internally generated or it c...
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...iven M&A activity in the industry.
· For airlines, foreign ownership limits will likely keep acquisition activity light.
· Some utilities could experience a negative impact on cash flow because goodwill is a recoverable regulatory asset in the rate base.
· Oil refiners and marketers have little goodwill and get little boost to EPS because they’ve bought most of their refinery assets below book value.
These fluctuations may lead to other reforms in the stated markets, but until the dust settles on these financial changes one would hope not to be caught up in the encircling adjustments.
Bibliography:
Jeannie D. Johnson and Michael G. Tearney, "Goodwill -An Eternal Controversy", The CPA Journal, p: 58-62, April 1993.
David Tweedie and Jeannot Blanchet, "Brands, Goodwill and the Balance sheet", Accountancy, p: 20-22, January 1995.
Merrill Lynch, “Goodwill Accounting: The overhaul affect.� New York November 2001
Schneider, Craig. “CFOs Sweat FASB's Goodwill Accounting Changes, Says Study.� CFO.com November 13, 2001.
Schneider, Craig. “FASB Issues Statements on Goodwill, Other Intangibles.� CFO.com, July 7, 2001.
1. The insight that each of these sources offers into slave life in the antebellum South is how slaves lived, worked, and were treated by their masters. The narratives talk about their nature of work, culture, and family in their passages. For example, in Solomon Northup 's passage he describes how he worked in the cotton field. Northup said that "An ordinary day 's work is considered two hundred pounds. A slave who is accustomed to picking, is punished, if he or she brings less quantity than that," (214). Northup explains how much cotton slaves had to bring from the cotton field and if a slave brought less or more weight than their previous weight ins then the slave is whipped because they were either slacking or have no been working to their
“The Harlem Renaissance served as a forum in which issues of race and identity could be openly discussed” (qtd. Verge9 1). Paul Lawrence Dunbar is known as a Harlem Renaissance
In order to complete the surplus test, a company must determine the value of its net assets. Delaware law does not prescribe a method for such valuation, and while there is generally a book value for a company’s net assets based on generally accepted accounting principles, the book value does not necessarily reflect the current market value of assets and liabilities. Delaware courts have recognized this conflict and have held that a board may determine their assets’ current value when determining whether the surplus test has been satisfied. See Morris v. Standard Gas & Elec. Co., 63 A. 2d 577, 578 (1949). Absent fraud or bad faith, as long as the Board demonstrates “great care to obtain data” and exercises “informed judgment”, a court will generally not interfere with such valuation. Id. Directors do not need to obtain a formal appraisal to arrive at the valuation, but must “evaluate the assets on the basis of acceptable data and by standards which they are entitled to believe reasonably reflect present values.” See Klang v. Smith’s Food & Drug Centers, Inc., 702 A. 2d 150, 152 (Del. 1997). Therefore, intangible assets (e.g., goodwill) can play a critical role in determining whether a company passes the surplus test. For example, a board could reasonably determine that a company that would otherwise fail the surplus test based on the value of its assets reflected on its balance sheet has surplus by attributing additional value to its intangible
The police are usually charged with the great responsibility of ensuring that citizens are living quality lives that are free of crime and fear. In order to perform this duty effectively, the police need accurate and deeper knowledge of the citizens and issues they encounter in their daily lives. This knowledge will not be easy to come by if the police work independently from the citizens. Over the last several decades, police agencies have been working to gain the respect and the cooperation of the communities they serve. Community Oriented Policing was introduced to bring a closer working relationship between the citizens and the police.
In Girl and The Women’s Swimming Pool, have similar historical period and also have different cultures. Both stories were written in a historical period when women were not allowed to make decisions for themselves. Women’s right was not a thing in this historical period in which these two stories were written. Society made every decision for them as individual as well as groups. Society gave women a definition of what they stood for. Women had no choice but to follow whatever society told them to because there was no other option for them. Change was very hard for these women due to unexpected demands required from them. They held back every time change came their way, they had to put up with their oppressors because they didn’t have a mind
What do we do with children with disabilities in the public school? Do we include them in the general education class with the “regular” learning population or do we separate them to learn in a special environment more suited to their needs? The problem is many people have argued what is most effective, full inclusion where students with all ranges of disabilities are included in regular education classes for the entire day, or partial inclusion where children spend part of their day in a regular education setting and the rest of the day in a special education or resource class for the opportunity to work in a smaller group setting on specific needs. The need for care for children with identified disabilities both physical and learning continues to grow and the controversy continues.
In order for inclusion to be implemented properly it is important that teachers, parents, and administrators to know the definition of inclusion. An inclusion program means that the student spends all or most of their school time in the general education classroom rather than a self-contained classroom. However, the students will still receive the support and interventions they would have received in a self-contained classroom. There are different types of inclusive classrooms where different types of teaching occur. There is co-teaching where there is both a general education teacher and a special education teacher that co teach. Both will work with students that have an individualized education plan (IEP) and the student will receive more support. In addition, an inclusive classroom can have a general education teacher but has the special education teacher as a resource or aid, which qualifies as a collaborative model of inclusion.
If one looks at the word “Inclusion”, its definition states that the word means being a part of something or the feeling of being part of a whole. By looking at this term, one gets a sense about what inclusion education is all about (Karten p. 2). Inclusion education is the mainstreaming of Special Education students into a regular classroom (Harchik). A school that involves inclusive education makes a commitment to educate each and every student to their highest potential by whatever means necessary (Stout). Their goal is for all children, disabled or not, to be able to attend a typical classroom.
Community policing is a strategy used by various departments in order to create and maintain a relationship between the law enforcement agency and the community being patrolled. Community policing is composed of three critical components, community partnerships, organizational transformation, and problem solving (Gardiner, 154, 2016). Community partnerships are pivotal in community policing since they increase public trust and create am improved relationship in law enforcement agencies better serving the community (Gardiner, 87, 2016). These partnerships not only offer public input but also encourage the public to cooperate with law enforcement agencies in order to minimize crime within the community (Gardiner, 88, 2016). Unlike, the traditional strategies of policing, community orientated policing has been adopted by two-thirds of agencies in order to improve public safety and control crime. (Gardiner, 148, 2016).
Goodwill's Value of Proposition is , "Used merchandise at deeply discounted prices" (video).Goodwill stores service bargain shoppers who are looking to purchase items at discounted prices. When breaking down the customer groups into categories there are the Lower income shoppers who at the community Goodwill stores. There are also the higher income shoppers who shop at the Goodwill Boutiques. Goodwill also services the technological customer through it's online store.
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Those who support an inclusion model for all students take the stand that students with disabilities should be placed in and inclusion setting with the idea that all special education students will benefit from an inclusion setting with their general education peers. An inclusion setting will provide academic growth and social growth. The placement of special education students in a general education classroom would also benefit students to respect and accept those students who are different. Students should be placed in an inclusion setting whenever possible (Noll, 2013).
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The key aspects to community policing involve having officers working in permanent neighborhoods, the involvement of citizens to identify problems and have potential solutions, and the reliance on agencies to help locate issues. The cornerstone of the program is the citizen interaction with the police. It is reported that communities that receive community policing funds have reduced levels of violent and property crimes, also has a greater number of arrests. Successful partnership helps with the reduction of gang and drug activities, area crime rate, and the improvement of the relationship between law enforcement and
Goodwill’s value proposition is “used merchandise at deeply discounted prices.” (Pearson, 2013) It is the same for all customer groups because the clothes and merchandises are being donated to Goodwill and are sold international. Goodwill has retail stores all over the nation and the items online are auctioned through eBay and Amazon fo...