In 2007-2008, accounting rule-makers changed the way that companies are required to account for the merger or acquisition of businesses from the existing "purchase method" to a new "acquisition method ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

When a company wants to buy your small business or merge with your organization, you must work with that company to prepare your accounting ledgers. The way you value assets and account for stock in ...

The push-down method of accounting is a way for a company to account for the controlling purchase of a subsidiary. When a company purchases another, the question arises as to how to value the ...

The IRS has issued new guidance on automatic accounting method changes. Revenue Procedure 2009-39 provides certain additions, modifications and clarifications to Revenue Procedures 2008-52 and 97-27 ...

Hawkins, David F., and F. Asis Martinez Jerez. "Accounting for Business Combinations: Acquisition Method." Harvard Business School Background Note 108-067, February 2008. (Revised November 2010.) ...