Pooling of interests
Pooling of interests is a method of accounting for a merger in which the consolidated balance sheet is constructed by simply adding together the balance sheets of the merged companies. This is no longer allowed.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Pooling of interests. A method of accounting for a merger in which the consolidated balance sheet is constructed by simply adding together the balance sheets of the merged companies. This is no longer allowed.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
