What it is
An acquisition note tells the reader what was bought, what was paid, what was recorded and why goodwill arose. This checklist covers the transaction facts, consideration transferred, amounts recognized for assets and liabilities, results and costs, and the measurement period.
It is a prompt list in our own words, not the Codification. A scaling line records the entity’s status: a nonpublic entity does not give supplemental pro forma information and can apply private company alternatives for certain acquired intangibles.
When to use it
- When drafting the business combination note in the period of an acquisition.
- At the next year-end, while the measurement period is open.
- During the audit or review of the notes.
What’s inside
- The transaction: acquiree, date, interest acquired, reasons and goodwill factors
- Consideration transferred, contingent consideration and separate transactions
- Recognized assets and liabilities, receivables, intangibles, contingencies and taxes
- Results, acquisition costs and cash flow presentation
- Measurement period adjustments and combinations after the balance sheet date
Standard cited
This template follows ASC 805. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
Does a private company give pro forma information?
No. Supplemental pro forma revenue and earnings are required of public business entities. A private company records its status on the checklist and marks the item N/A.
What goes in the measurement period section?
Provisional amounts at period end and why the accounting is incomplete, plus adjustments made during the period, the line items they affect and the effect on earnings. The purchase price allocation workbook keeps the history.
What if the acquisition closes after year end?
Disclose the same information to the extent it is available when the statements are issued, and say which items are not yet available.
Related templates
- Purchase Price Allocation Workbook (ASC 805)
- GAAP Disclosure Checklist (Private Company, Short Form)
- Disclosure Checklist: Goodwill and Other Intangibles (ASC 350)
- Disclosure Checklist: Subsequent Events (ASC 855)
Last updated 11/05/2026. All free templates.