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Internally Generated Goodwill Of A Company

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  • Sacui Violeta

Abstract

Goodwill is seen as an important element in a business enterprise. Goodwill is perceived an intangible asset that arises from other intangible assets of the company. Its presence can be indicated by relatively high levels of return on invested capital. During the twentieth century the concept and sources of goodwill has changed significantly. In the present, goodwill comprises the complete set of unidentifiable intangible assets held by a company. Function of modality of obtaining, goodwill can be divided in two categories: internally generated goodwill and purchased goodwill. This working paper represents a theoretical research about internally generated goodwill of a company. The purpose of this paper is to clarify the concept of goodwill, components, sources and characteristics of internally generated goodwill of a company.

Suggested Citation

  • Sacui Violeta, 2015. "Internally Generated Goodwill Of A Company," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(2), pages 398-403, December.
    • Handle: RePEc:ora:journl:v:1:y:2015:i:2:p:398-403
    as

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    File URL: http://anale.steconomiceuoradea.ro/volume/2015/n2/047.pdf
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    References listed on IDEAS

    as
    1. Martin Bloom, 2009. "Accounting For Goodwill," Abacus, Accounting Foundation, University of Sydney, vol. 45(3), pages 379-389, September.
    2. Henning, SL & Lewis, BL & Shaw, WH, 2000. "Valuation of the components of purchased goodwill," Journal of Accounting Research, Wiley Blackwell, vol. 38(2), pages 375-386.
    3. Chauvin, Keith W. & Hirschey, Mark, 1994. "Goodwill, profitability, and the market value of the firm," Journal of Accounting and Public Policy, Elsevier, vol. 13(2), pages 159-180.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    goodwill; value; enterprise; profit; asset; intangible;
    All these keywords.

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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