negative goodwill

negative goodwill definition - finance
A situation that occurs when the market value of goodwill falls below the goodwill value that is stated on a companyÂ’s balance sheet. Corporations take a write-off on their income statement to reflect the amount that goodwill has declined.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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