Goodwill on consolidation

An asset reported in a consolidated group balance sheet, based on the excess - if any - of the purchase price paid for the investment in a subsidiary, over the holding company's share of the subsidiary's net assets.

See also

• Goodwill
• Group accounts
• Subsidiary

Other resources

All together now - consolidation accounting, The Treasurer

Consolidation can seem complicated.

This article unpicks the complexity to explain the purpose and process of consolidated group accounting.