Learning Goals

Question 1

Understand fair value accounting and its implications for the shareholder (and debtholder) (1)

Answer 1

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Question 2

Understand when fair value accounting makes sense (1)

Answer 2

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Question 3

Know the accounting basics for business combinations and PPA (1)

Answer 3

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Question 4

Understand what goodwill is and how it is measured (1)

Answer 4

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Question 5

Understand how goodwill accounting influences future profits (1)

Answer 5

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Question 6

Be able to criticize the current fair value requirements and accounting for goodwill (1)

Answer 6

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Question 7

Understand the IFRS 13 Fair Value Measurement Concept (2)

Answer 7

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Question 8

Understand the different approaches of measuring assets and liabilities (2)

Answer 8

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Question 9

Understand the application of highest and best use (2)

Answer 9

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Question 10

Understand the application of principal and most advantages market (2)

Answer 10

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Question 11

Understand the application and meaning of the fair value hierarchy (2)

Answer 11

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Question 12

Understand which valuation technique is applied when (2)

Answer 12

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Question 13

Be able to apply the acquisition method for business combinations (3)

Answer 13

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Question 14

Understand the difference between full and partial goodwill accounting (3)

Answer 14

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Question 15

Understand the accounting treatment of assets and liabilities acquired in business combination (3)

Answer 15

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Question 16

Understand the concept of control for business combinations (3)

Answer 16

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Question 17

Understand why control matters (4)

Answer 17

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Question 18

Understand the value of control (4)

Answer 18

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Question 19

Understand and be able to apply the accounting for intangibles (5)

Answer 19

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Question 20

Know the recognition criteria and be able to apply them for companies involved and not involved in business combinations (5)

Answer 20

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Question 21

Understanding the different valuation approaches (6)

Answer 21

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Question 22

Being able to apply the valuation techniques (6)

Answer 22

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Question 23

Being able to calculate the TAB (6)

Answer 23

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Question 24

Understanding the difference between “return of” and “return on” (6)

Answer 24

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Question 25

Being able to apply a reasonability check (relationship between WARA and WACC) (6)

Answer 25

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