Sometimes companies purchase businesses for more than what they are actually worth. The difference between a business' actual worth and what someone pays for that business is referred to as goodwill.

Goodwill is an intangible asset that arises when one company acquires another and pays more than the fair value of its net identifiable assets. Goodwill is an intangible asset created when a company ...

Goodwill and patents are intangibles that may be assigned a value for accounting purposes. Goodwill is used in relation to company acquisitions, to express the difference between the book value of a ...

Goodwill impairment is an accounting term used to describe a reduction in the value of goodwill on a company’s balance sheet. Goodwill itself represents the excess amount a company has paid over the ...