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acquisition accounting

   Also found in: Financial 0.01 sec.
acquisition accounting
n
(Economics, Accounting & Finance / Accounting & Book-keeping) an accounting procedure in which the assets of a company that has recently been taken over are changed from the book value to the fair market value


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Because of the potential impact of the recorded business combination on post-acquisition earnings, the acquiring company should develop an acquisition accounting forecast to estimate the income statement effects.
In such instances, the acquisition date and the acquisition accounting required thereby results from a transaction in which the acquirer did not directly participate.
The report then moves on to the use of in process R&D write-offs in acquisition accounting.
 
 
 
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