Given the downturn in the economy as a result of the effects of COVID-19, we expect many companies will be required to perform interim goodwill impairment tests during the 2020 calendar year. Our white paper, Impact of COVID-19: Goodwill impairment considerations, discusses many relevant matters related to goodwill impairment, including the following:
- Evaluating indicators of impairment, including external and internal “triggering” events
- Market prices as evidence of fair value
- Valuation methodology considerations
- Changes to inputs and assumptions