The Influence of Accounting for Goodwill on the Bottom Line of
Business Corporations

D 2018

The Influence of Accounting for Goodwill on the Bottom Line of Business Corporations

SEDLÁČEK, Jaroslav, Filip HAMPL and Elena LÁNCOŠOVÁ

Basic information

Original name

The Influence of Accounting for Goodwill on the Bottom Line of Business Corporations

Authors

SEDLÁČEK, Jaroslav (203 Czech Republic, guarantor, belonging to the institution), Filip HAMPL (203 Czech Republic, belonging to the institution) and Elena LÁNCOŠOVÁ (203 Czech Republic, belonging to the institution)

Edition

1. vyd. Brno, Proceedings of the 15th International Scientific Conference European Financial Systems 2018, p. 599-607, 9 pp. 2018

Publisher

Masarykova univerzita

Other information

Language

English

Type of outcome

Stať ve sborníku

Field of Study

50206 Finance

Country of publisher

Czech Republic

Confidentiality degree

není předmětem státního či obchodního tajemství

Publication form

printed version "print"

RIV identification code

RIV/00216224:14560/18:00103141

Organization unit

Faculty of Economics and Administration

ISBN

978-80-210-8980-8

UT WoS

000462948800077

Keywords in English

correlation; Czech Accounting Standards (CAS); goodwill; intangible assets; International Financial Reporting Standards (IFRS)

Abstract

V originále

The paper is dedicated to methods of accounting for goodwill and their relationship to the bottom line of business corporations. Methodically it is based on the comparison of Czech and international accounting rules. Empirical research is conducted on business companies operating in the Czech Republic in the period from 2007 to 2016. Differences and connections between intangible assets including goodwill and performance indicator represented by earnings before interests and taxes (EBIT) reported in accordance with the Czech Accounting Standards (CAS) and the International Financial Reporting Standards (IFRS) are examined. Particularly, Spearman’s correlation coefficient and F-test are used for hypothesis testing. It was identified a lagged relationship between EBIT and the index indicator of acquired intangible/tangible assets and concluded that approach of CAS and IFRS regarding revaluation of goodwill is not comparable in terms of variability and predictability.

Links

MUNI/A/0753/2017, interní kód MU

Name: Behaviorální, znalostní a ekonomické aspekty ovlivňující investiční rozhodování subjektů

Investor: Masaryk University, Category A

Citovat

SEDLÁČEK, Jaroslav, Filip HAMPL and Elena LÁNCOŠOVÁ. The Influence of Accounting for Goodwill on the Bottom Line of Business Corporations. In Josef Nešleha, Filip Hampl, Miroslav Svoboda. Proceedings of the 15th International Scientific Conference European Financial Systems 2018. 1st ed. Brno: Masarykova univerzita, 2018, p. 599-607. ISBN 978-80-210-8980-8.

@inproceedings{1422417,
   author = {Sedláček, Jaroslav and Hampl, Filip and Láncošová, Elena},
   address = {Brno},
   booktitle = {Proceedings of the 15th International Scientific Conference European Financial Systems 2018},
   edition = {1},
   editor = {Josef Nešleha, Filip Hampl, Miroslav Svoboda},
   keywords = {correlation; Czech Accounting Standards (CAS); goodwill; intangible assets; International Financial Reporting Standards (IFRS)},
   howpublished = {tištěná verze "print"},
   language = {eng},
   location = {Brno},
   isbn = {978-80-210-8980-8},
   pages = {599-607},
   publisher = {Masarykova univerzita},
   title = {The Influence of Accounting for Goodwill on the Bottom Line of Business Corporations},
   year = {2018}
}

TY  - JOUR
ID  - 1422417
AU  - Sedláček, Jaroslav - Hampl, Filip - Láncošová, Elena
PY  - 2018
TI  - The Influence of Accounting for Goodwill on the Bottom Line of Business Corporations
PB  - Masarykova univerzita
CY  - Brno
SN  - 9788021089808
KW  - correlation
KW  - Czech Accounting Standards (CAS)
KW  - goodwill
KW  - intangible assets
KW  - International Financial Reporting Standards (IFRS)
N2  - The paper is dedicated to methods of accounting for goodwill and their relationship to the bottom line of business corporations. Methodically it is based on the comparison of Czech and international accounting rules. Empirical research is conducted on business companies operating in the Czech Republic in the period from 2007 to 2016. Differences and connections between intangible assets including goodwill and performance indicator represented by earnings before interests and taxes (EBIT) reported in accordance with the Czech Accounting Standards (CAS) and the International Financial Reporting Standards (IFRS) are examined. Particularly, Spearman’s correlation coefficient and F-test are used for hypothesis testing. It was identified a lagged relationship between EBIT and the index indicator of acquired intangible/tangible assets and concluded that approach of CAS and IFRS regarding revaluation of goodwill is not comparable in terms of variability and predictability.
ER  -

SEDLÁČEK, Jaroslav, Filip HAMPL and Elena LÁNCOŠOVÁ. The Influence of Accounting for Goodwill on the Bottom Line of Business Corporations. In Josef Nešleha, Filip Hampl, Miroslav Svoboda. \textit{Proceedings of the 15th International Scientific Conference European Financial Systems 2018}. 1st ed. Brno: Masarykova univerzita, 2018, p.~599-607. ISBN~978-80-210-8980-8.

Detailed Information on Publication Record