When is pushdown accounting applied and what does it mean?
Pushdown accounting
All Replies
Pushdown accounting is a method of accounting for the purchase of another company at the purchase price rather than its historical cost. The target company’s assets and liabilities are written up (or down) to reflect the purchase price.
looking for service like, bookkeeping , accounting
Viewing 2 replies - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.
An acquiree has an option to apply pushdown accounting in its separate financial statements when an acquirer obtains control of the acquiree (i.e. through an acquisition). An acquiree that elects to apply pushdown accounting will reflect the new basis of accounting established by the acquirer (i.e. FV adjustments) to the individual assets and liabilities of the acquiree.