Goodwill Impairment and SOX Impact 2238
SOXFAN77 last edited by
The Corporation I work for performs an annual FAS 142 Goodwill Impairment analysis (E_and_Y does the analysis) and we rely on the results of the analysis to book an impairment, if any. Has anyone ever had an impairment analysis performed, had goodwill impaired, and what SOX implications resulted? Thanks…
Denis last edited by
What is important is that an impairment booked is handled in a controlled manner. Having a Big 4 firm doing the analysis for you and then using that as the basis for any impairment is quite robust i.e. you are using third part evidence to support management’s judgement.
However, one question that arises is are EY your auditor? If so this is troubling as there would appear to be a clear conflict in them doing this analysis for you.