A Note on the Determinants of IFRS Policy Choice When Accounting for Non‐controlling Interest and Goodwill.
This paper provides evidence on the choices made by European firms when measuring non‐controlling interest (NCI) and goodwill. Since 2009, IFRS 3 allows measurement of NCI either at fair value (full goodwill method) or at the proportionate share of net assets (partial goodwill method). IFRS 3 allows...
| Publicado en: | Abacus Vol. 62; no. 1; pp. 310 - 336 |
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| Autores principales: | , , , |
| Formato: | Artículo |
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Wiley-Blackwell
Mar2026
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| Materias: | |
| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=192373567&site=ehost-live header: @attributes: shortDbName: hlh uiTerm: 192373567 longDbName: Humanities International Complete uiTag: AN controlInfo: bkinfo: jinfo: jid: 00013072 AUB jtl: Abacus issn: 00013072 maglogo: Y pubinfo: dt: Mar2026 vid: 62 iid: 1 pid: 480 pub: Wiley-Blackwell artinfo: ui: 192373567 10.1111/abac.12350 ppf: 310 ppct: 26 formats: fmt: – @attributes: type: T – @attributes: type: P size: 309KB tig: atl: A Note on the Determinants of IFRS Policy Choice When Accounting for Non‐controlling Interest and Goodwill. aug: au: Aasen, Matilda Hellman Hellman, Niclas Hjelström, Tomas White, Jasmina T. affil: Stockholm School of Economics su: International Financial Reporting Standards Accounting policies Goodwill (Commerce) Accounting methods Mergers & acquisitions Minority stockholders Financial statements sug: subj: International Financial Reporting Standards Accounting policies Goodwill (Commerce) Accounting methods Mergers & acquisitions Minority stockholders Financial statements keyword: Accounting policy choice Full goodwill method Goodwill IFRS International accounting Non‐controlling interest Partial goodwill method ab: This paper provides evidence on the choices made by European firms when measuring non‐controlling interest (NCI) and goodwill. Since 2009, IFRS 3 allows measurement of NCI either at fair value (full goodwill method) or at the proportionate share of net assets (partial goodwill method). IFRS 3 allows this policy choice on a per transaction basis. Our data comprise 188 hand‐collected firm choices in connection with business combinations with remaining NCI, between 2010 and 2016. We use the theoretical framework developed by Stadler and Nobes (2014) explaining differences in firms' choices of overt accounting options by country, industry, and firm‐specific topic factors. Based on univariate and multivariate analyses, we find that transaction‐specific and firm‐specific topic factors influence accounting policy choice, whereas country and industry factors do not. The choice has different effects on financial leverage and operating returns, which inform firm‐level preferences. Regarding choices made at the transaction level, we find acquirers with an intention to buy additional shares from non‐controlling shareholders tend to prefer the full goodwill method. Thus, the choice of accounting method conveys information to users about future additional acquisitions and has implications for standard setters, indicating that offering choices at transaction level may increase the forward‐looking content of financial statements. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: Y custom: Copyright of Abacus is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. item: Abacus holder: Wiley-Blackwell dt: @attributes: year: 2026 holdings: @attributes: islocal: N |
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