Module 28: Fair Values and Goodwill Flashcards
Cost of investment - deferred cash
Discount to PV
Cost of investment shares
Measure at acquisition date FV
Cost of investment - liabilities
Measure at FV of liability at acquisition date
Cost of investment - non monetary assets
Measure at FV of assets
Cost of investment - contingent
Measure at FV at acquisition date
Do not remeasure if shares
Remeasure if cash or debt instrument
Acquisition - related expenses
Recognise in SPL as incurred
NCI
% x net assets of subsidiary at acquisition
If FV of intangible can be determined at acquisition
Recognised
Contingent liabilities
Recognise as a liability if a present obligation and FV can be measured
Reorganisation costs
Recognise only if allowed by IAS 37
Future operating losses
No provision is allowed
Non current assets held for sale
Measure at FV less costs to sell