Prior to the implementation of FAS 142 in 2002, goodwill was amortized annually. Now, companies with goodwill on their books must test it annually for impairment. This paper examines the effectiveness of goodwill amortization and impairment of goodwill both before and after the adoption of FAS 142 by analyzing their effect on abnormal stock returns. My results regarding the effect of goodwill amortization on stock returns are inconsistent, suggesting that goodwill amortization is not useful in determining the value of a company. My results also suggest that the stock market anticipates goodwill impairments before they are announced.

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The level of indebtedness in Sweden has been rising substantially and is well above thelevels prevalent in other countries. Consequently, the government introduced anamortization requirement in 2016, which was further strengthened in 2018, in order tolower the risk that a high level of debt might constitute for both households as well asfor the economy. We analyse whether mortgage repayment has an effect on the level ofindebtedness and we contribute to the present studies by investigating the effect of anamortization requirement by predicting long term consequences. In order to answer ourresearch question, data from Sweden and Finland is used, two countries that despitemany similarities have very different mortgage repayment cultures. By conducting apanel data analysis, we prove our hypothesis that amortization has a significant effect onthe level of indebtedness. However, we do also discuss that cultural factors might becrucial in determining the actual effects of a mortgage payoff requirement. Yet, weconclude that amortization might be a good start to decrease the high debt level inSweden.

Background: Goodwill activity has been very high in Sweden in recent years. Goodwill is regulated by IFRS 3, which came into effect in 2004. Instead of amortizing the asset over a specific number of years, goodwill should be tested for impairment every year. This change has received criticism due to its introduction of estimation of fair values and the possibility it gives managers to act discretionary, which has made it more difficult for investors to trust the financial information of the firm. Purpose: The purpose of the thesis is to examine the effects the switch from the amortization regime to the impairment regime has had on the relationship between goodwill costs and share price. The research question is if there is a difference in the association between share prices and goodwill costs between the amortization regime and the impairment regime. Method: The thesis conducts a quantitative study with a linear regression analysis to measure the association between goodwill costs and share prices. The sample consists of 19 of the firms listed on OMXS 30. In the model used for the linear regression share price is the dependent variable and there are nine different independent variables tested against share price, among which goodwill costs are included. To test if there is a difference between the two different regimes, the regression is divided into an amortization part and into an impairment part. Conclusion: The thesis concludes that it can find a difference between the amortization regime and impairment regime in the association between goodwill cost and share price. In the impairment regime goodwill cost affects share prices in contrast to the amortization regime where it does not.

The aim of this paper is to find a market value of Falco - Profistav s.r.o as of 1st January 2010. The outcome of the paper should serve as a supportive material for to the company owners for decisions about future of the company. Financial analysis, Strategic analysis, Analysis and prognosis of value generators and Valuation are integral parts of the paper. As a result of analyses, infinite life of company can not be reasonably expected. Therefore, for valuation, liquidation value and amortization value methods were selected.

The reactive strength index (RSI) is the current “gold standard” assessment of reactive strength. Traditional measures of reactive strength, including the RSI, are not strength-based and are founded using untested theoretical assumptions. The purpose of this study was to develop two versions of a kinetic-based paradigm of reactive strength (New and AdjNew) and compare them against the Coefficient of Reactivity (CoR) and the RSI. Twenty one NCAA Division I basketball players and 59 young adults from the general population performed two reactive strength protocols: Progressive drop jumping and repetitive countermovement jumping. For every jump, the CoR, RSI, New, and AdjNew were computed. Measure agreeability was assessed using the Bland-Altman approach and linear regressions. Analyses of variance (ANOVA) assessed the effect of sport participation, age, and sex on the four measures of reactive strength. Lastly, effects of self-reported physical activity levels were assessed using stepwise linear regressions. The strongest association was observed between AdjNew and the RSI (R2= 0.636). All NCAA > young adults). The RSI, New, and AdjNew were sensitive to effects of sex and sport participation in repetitive countermovement jumping (males > females; NCAA > young adults). There are theoretical issues with the computation and implementation of the CoR and RSI. For example, the CoR and RSI are non-strength based measures that attempt to measure a strength construct. Further, the CoR, RSI, and New make the theoretical assumption that no biological variability exists in human movement. The AdjNew paradigm addresses and solves the theoretical issues with the CoR, RSI, and New. Therefore it may be argued that the AdjNew paradigm improves the theoretical validity of reactive strength assessment and is preferred over the RSI. The AdjNew is kinetic based, comprised of only measured component variables, and is not founded in assumptions of theory. This dissertation provides objective theoretical evidence to suggest that the AdjNew paradigm is an improvement over the RSI as a model of reactive strength.

The function of accounting is to provide users with useful information in making economic decisions. Information regarding goodwill, a major constituent of the value of many listed companies, is likely to be useful in making decisions relating to those companies. A historical review of accounting literature, including professional standards, relating to methods of accounting for purchased goodwill showed that none of them has stood the test of time. The current trend towards an impairment paradigm will not resolve the issue satisfactorily because it produces, at best, a partial solution. The difficulty in accounting meaningfully for goodwill is compounded because, given its foundation in historical cost principles, accounting has been unable to present any information at all with regard to internally generated goodwill within the confines of the traditional Balance Sheet. This, in turn, has led to the evasion of the reality that the two forms of goodwill are inextricably merged. Trying to account satisfactorily for goodwill has been a prime example of R.R. Sterling�s �issues conceived in a way that they are in principle unresolvable�. The problem was accordingly redefined as being to find a method by which the current level of information relating to goodwill in the financial statements contained in a company�s Annual Report could be improved. This thesis seeks to identify a logically defensible method of accounting for goodwill which addresses the redefined problem. It builds upon the historical research undertaken, combined with a priori reasoning, to propose an additional financial statement which is a modification of nineteenth century �double accounting� in a modern context. This statement, which goes far to solve the redefined problem, also furnishes information regarding the company�s market capitalization at balance date and is termed the Market Capitalization Statement (�MCS�). While the idea of furnishing market capitalization data to readers of the Annual Report is not new, it is believed that this is the first time such data has been systematically linked with the Balance Sheet to provide an objective, integrated and meaningful view of goodwill in the financial statements. The practical application and simplicity of the MCS are illustrated by a range of examples drawn from Australian �dot-com� companies over a period of time which saw considerable fluctuation in both goodwill and market capitalization, supplemented by examining data relating to some of Australia�s largest listed companies over the same period. These examples demonstrate that the MCS has the potential to provide significant information not available in conventional financial statements, while freeing the traditional Balance Sheet and Profit and Loss Account to present information in a more meaningful and less distorted way. Finally, the MCS is noted as still being subject to certain problems and distortions in the context of the historical cost basis of the remaining financial statements. It is shown that, if used in the context of an exit price based system, Chambers� CoCoA, many of these distortions are removed. The MCS also complements the information provided by CoCoA as originally formulated.

The function of accounting is to provide users with useful information in making economic decisions. Information regarding goodwill, a major constituent of the value of many listed companies, is likely to be useful in making decisions relating to those companies. A historical review of accounting literature, including professional standards, relating to methods of accounting for purchased goodwill showed that none of them has stood the test of time. The current trend towards an impairment paradigm will not resolve the issue satisfactorily because it produces, at best, a partial solution. The difficulty in accounting meaningfully for goodwill is compounded because, given its foundation in historical cost principles, accounting has been unable to present any information at all with regard to internally generated goodwill within the confines of the traditional Balance Sheet. This, in turn, has led to the evasion of the reality that the two forms of goodwill are inextricably merged. Trying to account satisfactorily for goodwill has been a prime example of R.R. Sterling�s �issues conceived in a way that they are in principle unresolvable�. The problem was accordingly redefined as being to find a method by which the current level of information relating to goodwill in the financial statements contained in a company�s Annual Report could be improved. This thesis seeks to identify a logically defensible method of accounting for goodwill which addresses the redefined problem. It builds upon the historical research undertaken, combined with a priori reasoning, to propose an additional financial statement which is a modification of nineteenth century �double accounting� in a modern context. This statement, which goes far to solve the redefined problem, also furnishes information regarding the company�s market capitalization at balance date and is termed the Market Capitalization Statement (�MCS�). While the idea of furnishing market capitalization data to readers of the Annual Report is not new, it is believed that this is the first time such data has been systematically linked with the Balance Sheet to provide an objective, integrated and meaningful view of goodwill in the financial statements. The practical application and simplicity of the MCS are illustrated by a range of examples drawn from Australian �dot-com� companies over a period of time which saw considerable fluctuation in both goodwill and market capitalization, supplemented by examining data relating to some of Australia�s largest listed companies over the same period. These examples demonstrate that the MCS has the potential to provide significant information not available in conventional financial statements, while freeing the traditional Balance Sheet and Profit and Loss Account to present information in a more meaningful and less distorted way. Finally, the MCS is noted as still being subject to certain problems and distortions in the context of the historical cost basis of the remaining financial statements. It is shown that, if used in the context of an exit price based system, Chambers� CoCoA, many of these distortions are removed. The MCS also complements the information provided by CoCoA as originally formulated.

Orientador: Manoel Henrique Salgado / Banca: Jair Wagner de Souza Manfrinato / Banca: Antonio Roberto Balbo / Resumo: A evolução econômica brasileira, impulsionada pelo aumento da oferta de crédito no varejo, tem trazido algumas divergências entre o agente concessor e o tomador de empréstimos. Observa-se, atualmente, um movimento engajado por mutuários de financiamentos imobiliários, que questionaram, entre outras coisas, a cobrança de juros sob juros ou anatocismo, quando dos questionamentos legais sobre a liquidação de empréstimos por meio de parcelas periódicas. No julgamento da questão, alguns magistrados têm sentenciado a incorreção na utilização de métodos de amortização com evolução a juros compostos e sua substituição por sistemas de amortização, com evolução a juros simples, notadamente o método de Gauss. A partir destas constatações, o objetivo geral da presente contribuição acadêmica é avaliar o método linear ponderado, conhecido por método de Gauss, como sistema de amortização de dívidas, sua viabilidade econômica e seus impactos ao mercado financeiro, constituindo este documento instrumento de consulta para a sociedade. para tanto, utiliza-se o gênero de pesquisa metodológica, quantitativa, não experimental, envolvendo a investigação de aspectos teóricos e aplicados, por simulação matemática, tratando de interesses locais. A insegurança jurídica instaurada pela falta de literatura específica à questão, fomentando decisões divergentes pelos magistrados, justifica o estudo, que busca uma contribuição original. O esforço acadêmico resultou em um instrumento que possibilite esclarecimentos dos principais questionamentos observados e discute a adoção de modelos a juros simples na economia brasileira / Abstract: The evalution of the Brazilian Economy, powered by the increased ofter of retail credit has brought some divergence betweeen lenders and borrowers. Nowadays, a movement of real state loan barrowers is oberseved, where the legally question, among other things, the practice of charging interest on interest, or anatocism, concerning loan liquidations by means of periodic payments. When judging the matter, magistrates have sentenced the substitution of the amortization method of compound interest for systems where amortization happens by simple interest evolution, namely the Gauss Method. Thus, the main objective of this academic work is to assess the weighed linear method, known as Gauss Method, as debt amortization system, its economic viability and impacts on the financial market, providing an instrument of research for society. Therefore, the methodological research was quantitative, non-experimental, involving the investigation of theoretical and applied aspects, by mathematical simulation, dealing with local interests. The legal uncertainty installed by the lack of specific literature concerning the matter simulates diverging decisions by magistrates, thus justifying this study, which for an original contribution. The academic effort resulted in an instrument that aims to clarify the main observed questionings and discusses the adoption of simple interest systems in the Brazilian economy / Mestre

Made available in DSpace on 2014-06-11T19:26:16Z (GMT). No. of bitstreams: 0 Previous issue date: 2010-11-30Bitstream added on 2014-06-13T20:15:02Z : No. of bitstreams: 1 goncalves_ms_me_bauru.pdf: 405367 bytes, checksum: 8db5acf933edafe2a5eee99467b1ab77 (MD5) / Coordenação de Aperfeiçoamento de Pessoal de Nível Superior (CAPES) / A evolução econômica brasileira, impulsionada pelo aumento da oferta de crédito no varejo, tem trazido algumas divergências entre o agente concessor e o tomador de empréstimos. Observa-se, atualmente, um movimento engajado por mutuários de financiamentos imobiliários, que questionaram, entre outras coisas, a cobrança de juros sob juros ou anatocismo, quando dos questionamentos legais sobre a liquidação de empréstimos por meio de parcelas periódicas. No julgamento da questão, alguns magistrados têm sentenciado a incorreção na utilização de métodos de amortização com evolução a juros compostos e sua substituição por sistemas de amortização, com evolução a juros simples, notadamente o método de Gauss. A partir destas constatações, o objetivo geral da presente contribuição acadêmica é avaliar o método linear ponderado, conhecido por método de Gauss, como sistema de amortização de dívidas, sua viabilidade econômica e seus impactos ao mercado financeiro, constituindo este documento instrumento de consulta para a sociedade. para tanto, utiliza-se o gênero de pesquisa metodológica, quantitativa, não experimental, envolvendo a investigação de aspectos teóricos e aplicados, por simulação matemática, tratando de interesses locais. A insegurança jurídica instaurada pela falta de literatura específica à questão, fomentando decisões divergentes pelos magistrados, justifica o estudo, que busca uma contribuição original. O esforço acadêmico resultou em um instrumento que possibilite esclarecimentos dos principais questionamentos observados e discute a adoção de modelos a juros simples na economia brasileira / The evalution of the Brazilian Economy, powered by the increased ofter of retail credit has brought some divergence betweeen lenders and borrowers. Nowadays, a movement of real state loan barrowers is oberseved, where the legally question, among other things, the practice of charging interest on interest, or anatocism, concerning loan liquidations by means of periodic payments. When judging the matter, magistrates have sentenced the substitution of the amortization method of compound interest for systems where amortization happens by simple interest evolution, namely the Gauss Method. Thus, the main objective of this academic work is to assess the weighed linear method, known as Gauss Method, as debt amortization system, its economic viability and impacts on the financial market, providing an instrument of research for society. Therefore, the methodological research was quantitative, non-experimental, involving the investigation of theoretical and applied aspects, by mathematical simulation, dealing with local interests. The legal uncertainty installed by the lack of specific literature concerning the matter simulates diverging decisions by magistrates, thus justifying this study, which for an original contribution. The academic effort resulted in an instrument that aims to clarify the main observed questionings and discusses the adoption of simple interest systems in the Brazilian economy