What Are Net Identifiable Assets In Accounting

Net Identifiable Assets (NIA) in Accounting is the difference between total values of Identifiable Assets (both Tangible Assets and Intangible Assets) and total values of Liabilities of Acquiree’s business. It is calculated at the time of acquisition or merger of the business. It is one of the components of Purchase Price Acquisition and it is found by the acquirer or purchaser to estimate Goodwill of the acquiree company’s business.

Mathematically, we calculate Net Identifiable Assets by following equation:

 Net Identifiable Assets = Total Values of Identifiable Assets - Total Values of Liabilities